A MAJOR homeware brand on the brink of collapse could be saved as 272 outlets are at risk of closing for good. Struggling Carpetright could be snapped up by its largest competitor Tapi Carpets as the two move closer to securing a deal. Should an agreement be reached it would mean hundreds of stores and jobs would be saved.
Tapi Carpets is thought to be in pole position to acquire the retailer which put itself up for sale last week, having made a formal bid to buy the Carpetright brand name and a number of its stores. Tapi, which was founded in 2014 by Martin Harris, the son of Carpetright founder Lord Harris of Peckham, who is also a shareholder, is understood to not want to acquire the head office in Purfleet, Essex . Any sale is likely to be delivered via a pre-pack administration, which could lead to some of its shops being permanently shut and jobs scrapped, The Times reports.
Read More on Retail Administrators at PwC were put on standby on Friday by Carpetright as it sought a “period of protection” as it searched to secure additional investment. It is believed the executives at the retailer were reluctant to approach Tapi about a deal over fears it could gain access to sensitive trading information. Carpetright are also understood to want a quick sale and are concerned its competitor would have to go through competition clearance to get the green light for the sale.
Carpetright’s ultimate owner, Meditor, a British hedge fund, has ruled out trying to buy back the bu.