Allied Carpet Properties was been placed into administration last week, and Putney and 50 other of its stores and the Allied Carpets brand were immediately sold to to a new firm, Allied Carpets Retail Limited, set up by Allied chief executive Clive Hutchings.The disposal protects around 400 jobs. The remaining 217 stores will be traded until a buyer is found.

Administrators BDO Stoy Hayward say customer deposits are safeguarded and outstanding customer orders, including inspections, will continue to be fulfilled from all stores. Customers who have any questions about purchases are advised to contact their local store.

The company employs around 1,500 people and the administrators say all staff wages, including arrears, will be paid on the normal payment dates.

BDO Stoy Hawyard say it is hoped that some additional stores will also be acquired by the new business during the course of the next two weeks, subject to a satisfactory outcome being reached in ongoing negotiations with the company's existing landlords.

Dermot Power of administrators BDO Stoy Hayward said: “Allied Carpets is a well established brand in the marketplace but like many companies, has suffered because of the economic climate and difficult trading conditions.

“The stagnation of the housing market has meant that fewer people are buying carpets and flooring.  We're pleased to have safeguarded the future of 51 stores and more than 400 jobs. We are currently working to secure a going concern sale of the remaining stores in the Allied Carpets portfolio. Customers who have any questions about purchases should contact their local store.”

Clive Hutchings, CEO at Allied Carpets Inspections Limited, commented: "I am pleased that we have secured the future of the Allied Carpets brand through this sale and have the working capital to provide continuity and security for our customers and a significant proportion of staff.

“Allied Carpets is a good business, and through this sale and additional funding, both the retail and inspections businesses now have the opportunity to strengthen their respective market positions, build on the Allied brand and ensure an ongoing commitment to unrivalled customer service”.

 

August 6, 2009