The High Court has appointed joint provisional liquidators to the footwear brand Russell & Bromley which operates two stores and two concessions in Ireland and employs 33.
The company, which also sells handbags and accessories, operates a store in Grafton Street, Dublin, and another in Kildare Village, Co Kildare. It also has concessions in Brown Thomas in Cork and Arnotts in Dublin.
Founded in 1880 in England, the UK parent has gone into administration. This week it was bought out of administration by Next for £3.8 million (€4.4 million), although 400 jobs are still likely to go and 33 shops were not included in the deal.
On Wednesday, Mr Justice David Nolan appointed Eamonn Richardson and Kieran Wallace as joint provisional liquidators to Russell & Bromley (Ireland) Ltd on the application of the company, whose directors are Andrew Bromley and Sebastian Bromley of London. Farwig Ltd of London is the parent.
READ MORE
In its petition, the company says it experienced net losses of €649,000 in 2024 and now has a total balance sheet deficit of €2.1 million.
Similar to the UK stores, the Irish outlets have experienced difficult trading conditions in recent years and have been loss-making. The company has relied on the UK parent and Russell and Bromley Ltd for ongoing financial and operational support, including the supply of branded stock.
Since commencing operations in Ireland in 2022, it has seen lower-than-expected traction in Irish stores and faced challenges in gaining momentum in the two concession stores, it says.
In light of unsuccessful efforts to secure new investment and its inability to trade on a standalone basis, it had become clear the company was insolvent and no longer able to trade as a going concern.
However, it says when the provisional liquidators take control of the company, it is proposed to employ an agent to operate the Irish stores and concessions on a short-term basis with a view to selling its remaining stock.
Employees were told on Wednesday about the commencement of collective redundancy proposals in an online meeting.
The company says the appointment of the provisional liquidators will facilitate the orderly wind-down of its stores and concessions.
The case comes back before the court next month.
