Fashion giant loved by Princess Kate on brink of administration | UK | News

A clothing retailer popular with the Royal Family has faced administration for the second time in six years. LK Bennett this week applied to the High Court to appoint an administrator.

Founded in 1990, the brand collapsed in 2019 after its owners could not find investors. It was purchased by Rebecca Feng, a Chinese franchise partner. At the time, it promised to preserve “the long-standing and undoubted legacy of the brand.” “This will be achieved through a combination of working with quality British design and the business’s existing supply chain,” Feng said. But from January 2023 to January 2024, LK Bennett lost £3.2 million and borrowed almost £22 million. Sales also fell from £48.8 million in 2023 to £42.1 million in 2024. The directors said in their latest accounts: “Given the decline in income, the directors do not recommend paying any further dividends.”

Auditor Grant Thornton warned of “material uncertainty regarding the continuation of the company” as it reportedly breached agreements with lenders.

The deadline to renegotiate the company’s debt pile is next month. The sun is reporting. The accounting group added: “A breach is expected [of debt covenants] Again.

“Although a letter has been received from the bank stating their intention to continue to make all facilities available until at least January 31, 2026, no formal waiver of commitments has been received.”

The company remains open and trading as normal with just nine stores and 13 concessions in the UK, Ireland and Jersey.

This comes despite the company’s high-profile fans including the Princess of Wales. Kate has reportedly worn 85 pieces from LK Bennett to date.

According to Kate Middleton Style, the Princess wore 19 outfits, one accessory, six pairs of shoes and seven bags.