The fashion retailer Blanco has announced the closure of its 102 shops and the firing of 850 employees.
The closure of its shops and dismissal of its workforce will be executed progressively, once the judge provides ‘green light’ to the bankruptcy proceedings of the company, which has liabilities of 133 million Euros.
Blanco is declaring insolvency for the second time in Spain and Portual in three years, after the current owners, AC Modus, did not find an “ideal investor” for the business. AC Modus, only acquired the company recently and has stated that after making “important investments” into the business both in Spain and Portugal, both divisions have not yet “generated any profits”, which is why they have been seeking investors to refloat the business.
The Emirati company’s efforts to find a suitable investor have been “fruitless”, which is why the company has decided to “submit itself to the insolvency proceedings” applicable in each country, given that the current situation of the business demands the “adopting of decisions based on the evolution of the market and the future” of society.
The company closed its website, blanco.com this week in the middle of its Christmas campaign.
On December 7th, Blanco announced the closure on Social media.
On Instagram, the company posted a photo with the words “We are sorry” to their 335,000 followers.