Lancashire-based online retailer, Studio Retail, has been acquired by Mike Ashley’s Frasers Group.
It comes just hours after the Accrington firm named joint administrators who said they were seeking an “accelerated sale” of the operation.
Frasers Group was the company’s biggest investor, with a 28.8% holding.
In today’s announcement, Frasers Group said that it had acquired Studio Retail Ltd, and “certain other assets” of Studio Retail Group PLC. The latter had been placed in administration.
“The consideration for the Transaction comprised cash and the release of SRG from its liabilities to the lending banks under its revolving credit facilities resulting in a cash payment by Frasers Group to the lenders in the amount of £26.8 million,” read the statement from Frasers Group.
“The Company also agreed to act as guarantor in respect of certain payments in respect of the SRG group pension scheme to the satisfaction of the Trustees.”
Earlier this month, Studio Retail Group announced that it was speaking to administrators after it was unable to secure a short-term loan of £25m.
Frasers Group explained that the acquisition would enable it to “elevate its customer journey including a flexible repayment proposition.”
It said the move would save approximately 1500 jobs.
