M&Co reportedly owed 46 million pounds before collapse

High street retailer M&Co is revealed to have owed unsecured creditors over 46 million pounds at the time of its collapse, with 1,800 jobs also reportedly lost.

The Scottish company appointed administrators towards the end of 2022, two years after it had previously collapsed during the pandemic. At the beginning of 2023, its 170 stores were preparing to close after AK Retail Holdings, parent company of Yours Clothing, rescued the retailer in a deal that did not include its retail portfolio.

New documents filed with Companies House showed that over 600 unsecured creditors are due to lose more than 33 million pounds. The case pivoted from administration, a process overseen by representatives of Teneo, to dissolution in June 2026. The filing further revealed that AK Retail Holdings acquired the retailer for 2.5 million pounds, a sum that had not been disclosed at the time.

Administrators said: “Following the transaction, which took place during the pandemic, and in common with other retailers, the company has suffered as a result of a drawn-out recovery in retail sales in the post pandemic period. In the months prior to administration, the deterioration in trading performance has been compounded by high inflation increasing the company's cost base, and a cost-of-living crisis impacting consumer behaviour.”