Byland UK, a Chinese company founded by one of LK Bennett’s Chinese suppliers, is currently in the final stages of negotiating an acquisition deal for the British brand. LK Bennett, a well-loved womenswear brand adored by celebrities such as Kate Middleton, Holly Willoughby, and Charlotte Hawkins, faced financial turmoil earlier this year, putting the livelihoods of 500 employees at risk.
Under the leadership of Rebecca Feng, Byland UK is one of the potential buyers vying to take over LK Bennett. Reports indicate that Byland has submitted the highest offer and is hopeful to close the deal by the end of this week. Since March, the brand has been managed by administrators from EY after failing to attract new investors.
The fate of LK Bennett’s 39 stores across the UK and 37 concessions hangs in the balance, with some locations already shuttered due to financial woes. Industry experts suggest that only a handful of standalone stores are economically feasible for a prospective purchaser. Furthermore, the recent bankruptcy filing of LK Bennett’s US business underscores the challenges confronting the brand in the competitive retail industry.
Established nearly three decades ago by Linda Bennett, LK Bennett has expanded to encompass 200 stores in the UK and abroad. Despite its popularity among prominent individuals, the brand recorded an operating loss of £5.9m in its last fiscal year. The potential acquisition by Byland UK presents a potential lifeline for LK Bennett, offering hope for the preservation of the iconic brand’s legacy in the UK and beyond.
For more information on the latest developments in the fashion industry, click here. To explore retail trends and analysis, visit Retail Dive.
