Quiz delists from stock market as it seeks to secure future
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Fashion chain Quiz has exited the stock market as it scrambles to secure its future, following reports it could close stores. The company, which runs 62 stores and 47 concessions across the UK, de-listed from London’s junior AIM stock market on Thursday morning.
Shortly before Christmas, the retail firm said it planned to de-list from the stock market in a bid to cut its costs. Earlier this month, shareholders voted in favour of the de-listing plan. The struggling retailer recently warned that it will run out of cash early this year unless it quickly secures more funding.
Quiz, which employs 1,500 people, said sales had been “disappointing” in the Christmas trading period and that its cash reserves are “less than previously anticipated”. It said the poor trading was partly because of the “impact of inflationary pressures on consumer confidence and spending”.
The company hired advisers to look at ways it could free up cash or secure more funding in order to help secure its future. Chairman Peter Cowgill said the company needs to “substantially reduce” costs, amid speculation the group could close stores.
The Telegraph reported earlier this week that Quiz is preparing to close up to a third of its stores to help slash costs. It reported that restructuring experts at Teneo are helping the business look at options, which could include a pre-pack administration or company voluntary arrangement (CVA) restructuring to facilitate closures.
