UK denim brand Firetrap would be closing down its six retail stores making 51 employees working there redundant.
World Design and Trade, the operating company of fashion brands FullCircle and Firetrap, was in administration for some time.
Administrators Ernst & Young were successful in securing a deal with Sports Direct, which acquired Firetrap's wholesale business, brands and concession stores, thus securing over 170 jobs.
However, the six retail stores owned by Firetrap were not bought by Sports Direct and hence, they need to be closed, the administrators said.
Two companies – JD Sports and Sports Direct – were in the race to buy Firetrap. This was the second time that the two sportswear firms vied to acquire the same company. Earlier, they had competed to buy Blacks, which was finally bought by JD Sports.
In UK, Firetrap became the latest of apparel brands falling into administration after the collapse of Peacocks in January this year. A majority stake in Peacocks was recently acquired by The Edinburgh Woollen Mill.
Sports Direct will add Firetrap to its brand portfolio. The sportswear brand had acquired premium chain Cruise and apparel retailer USC last year.
Fibre2fashion News Desk - India