Edcon to sell parts of Edgars to Retailability
The sale will save a significant number of jobs and lead to the sustainability of the Edgars brand.
Edcon’s business rescue practitioners (BRPs) have signed an agreement to sell parts of fashion retailer Edgars to Retailability.
This comes after Edcon announced in late April that it would file for voluntary business rescue after the nationwide lockdown exacerbated its already dire financial situation. The company’s BRPs said the only way to save the company and the jobs of its thousands of its employees was through an “accelerated sale” of its division to interested parties.
“The transaction, if successfully concluded, will be a positive outcome for the business rescue process, as Edgars with its great brands, product offerings and retail footprint, will be well served in the hands of an experienced Retailability team,” the practitioners said in a statement.
The next step is getting the green light from competition authorities for the sale to go ahead.
“This significant step will not only save a significant number of jobs, but importantly, will lead to the sustainability of a proudly South African iconic brand, whose continuity would serve the greater economy.”