Gordon Brothers Europe assists Spanish retailer Blanco with business restructure
Madrid (Spain), 12 June 2013 – Gordon Brothers Europe, the retail-restructuring specialist, has been appointed to provide operational expertise and capital to help the position of the ailing Spanish fashion retailer, Blanco. Blanco, who voluntarily filed for bankruptcy protection on Monday 3 June have been offered a vital operational and funding solution to help restructure the business in order to secure its future.
Gordon Brothers Europe will develop and implement a programme that will alleviate immediate stock pressures and ensure most of the stores continue trading. A store closure programme will be implemented and sales within the closing stores will start immediately. In addition, funding through the purchase of inventory will be carried out to provide immediate liquidity, allowing the business to continue trading.
Gordon Brothers Europe will work closely with Blanco, assisting them to manage all in-store activity, negotiating with suppliers, handling marketing and helping to generate vital cash to ensure the continuity of operations in the short term and maximisation of turnover. This agreement is not only compatible with all the restructuring options that Blanco’s management team is considering, but was the only way to make them possible, by guaranteeing the immediate continuity of the business.
Bernardo Blanco Moreno, General Director of Blanco said: “We appreciate Gordon Brothers Europe stepping in at this difficult time to assist us in restructuring the business and giving us the time to explore all options available, in order to obtain the most appropriate corporate structure for a sustainable future.
We firmly seek to reduce the sacrifices needed as well as the impact on staff, suppliers, creditors and clients in an effort to preserve Blanco's leadership and return to profitability, generate employment and continue to be a reference fashion retailing.”
Commenting on the appointment, Malcolm MacAulay, COO at Gordon Brothers Europe said: “We are delighted to be able to assist Blanco during what is a very challenging time for them. Gordon Brothers Europe’s expertise in restructuring and streamlining processes has been successfully trialled and tested. We will work closely with the Blanco Management team to help increase its cash value in order for the business to prosper going forward.”
Blanco is a Spanish company specialising in the design, production, distribution and sale of all types of accessories and clothing for the modern woman and man. Headquartered in Madrid, Blanco currently have over 245 shops spread across 23 countries. In 2011 Blanco launched its e-commerce project www.blanco.com in Spain and Portugal and later November 2012 in France. BlancoACCESSORIES, dedicated to the marketing of lingerie, swimwear and accessories and BlancSTOCK, outlet stores, which sell previous collections with up to 70% discount, complete the fashion offering.