L Brands have announced a partnership with Next PLC for its company-owned Victoria’s Secret business in the United Kingdom and Ireland. Under the agreement, Victoria’s Secret UK and Next PLC have formed a joint venture to acquire the majority of the assets of the Victoria’s Secret UK business that is currently in Administration. The newly formed joint venture will operate all Victoria’s Secret stores in the UK and Ireland, subject to agreeing to terms with landlords, as well as the digital business from Spring 2021. Under the terms of the agreement, Next PLC will own 51 percent of the joint venture, while Victoria’s Secret will own 49 percent.
Martin Waters, CEO of L Brands International, commented: “We are pleased to take this next step in our profit improvement plan for Victoria’s Secret. Next’s capabilities and experience in the U.K. market are substantial, and our partnership will provide meaningful growth opportunities for the business.”
Rob Harding, Administrator at Deloitte, adds: “This is an ideal way to secure the future of more than 500 employees in the U.K. We are grateful to the creditors for working with us to deliver a solution that enables this business to survive and prosper.”
