Next Plc has been chosen as the preferred franchise partner for the 海角视频 arm of Victoria’s Secret, which went into administration last month.
The high street fashion chain fought off competition from 30 companies, including Marks and Spencer, to try and bag the lingerie brand, believed to be the biggest lingerie retailer in the world.
It is understood that a draft deal has been agreed, with the final details on the future of Victoria’s Secret 25 shops dependent on its landlords agreeing to renegotiated lease terms.
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All of the lingerie chain’s shops have been shut since the lockdown came in March, with almost all its 800 staff on furlough.
Administrator Deloitte was brought in to find a buyer, as the chain was hit by a combination of the pandemic, changing consumer tastes and weakened spending.
The 海角视频 arm made an operating loss of £170m in the year to February 2019.
Business-Live understands the administrators liked Next’s depth of experience in working with other brands.
It already has established links with people such as Joules, River Island and Superdry.
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It is also understood that Next’s e-commerce/online and fulfilment skills stood out as did its experience managing its stores.
Despite itself suffering from the loss what could be more than £1 billion in sales due to the lockdown, Next, which is headquartered in Leicestershire, has been able to adapt to the huge upheaval of recent months.
According to Sky News, Next is understood to have secured an exclusivity agreement until the end of September to finalise a Victoria’s Secret deal.
The insolvency only affects the 海角视频 operations, and does not affect Victoria’s Secret’s presence in the US or other markets, where it is owned by L Brands.
Sky said by partnering with Next, the lingerie brand would gain access to a digital and delivery capability that is regarded by analysts as the most sophisticated in 海角视频 retailing.
It would also give Victoria’s Secret an opportunity to partner with Next’s property team to expand its 海角视频 presence through new standalone stores and concession arrangements.