News Column

Retail 'Tough trading' for fashion chain Hobbs

January 31, 2014

Sarah Butler

Fashion chain Hobbs endured "tough trading" over Christmas, prompting its private equity owner 3i to write down the value of its investment by 40%. The British investment firm said its 47% stake in the chain was worth pounds 14m less than in September last year when it was valued at pounds 35m, a figure that had already been cut from pounds 47m in March. The company blamed "trading weakness in the last quarter of 2013" for the latest revaluation. Hobbs was among a number of fashion retailers forced to discount clothing heavily before Christmas amid mild weather and a squeeze on shoppers' disposable income combined with competition from expensive must-have items. Sarah Butler

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Source: Guardian (UK)

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