Born Clothing Group Enters Provisional Liquidation.
The High Court has appointed provisional liquidators to the Born Clothing retail group, marking a significant development for one of Ireland’s long-established fashion chains.
The decision follows an urgent court application in which the company was deemed insolvent. The group, which operates 15 stores nationwide and employs approximately 116 staff, has accumulated debts totalling €7.82 million, including €2.2 million owed to the Revenue Commissioners.
Court-Appointed Liquidators.
At a sitting of the High Court, Judge Mr Micheál O’Connell appointed David O’Connor and Ian Barrett of BDO as joint provisional liquidators across multiple entities within the Born Clothing group. The court heard that the appointment was necessary to preserve the business and manage its affairs, as an alternative creditors’ winding-up process would have resulted in the immediate cessation of trading.
Retail Footprint and Regional Impact.
Born Clothing has been a familiar presence across Ireland for over a decade, with stores located in numerous towns and shopping centres. This includes outlets in Thurles Shopping Centre, Co. Tipperary; The Canopy, Co. Sligo and Carrick-on-Shannon, Co. Leitrim. The inclusion of Thurles highlights the broad regional reach of the brand, with communities across the country now facing uncertainty regarding store closures and job losses.
Background and Financial Position.
The court was informed that the company has experienced sustained financial difficulties, culminating in its current insolvent position. The provisional liquidation process is considered an emergency measure designed to stabilise the company’s affairs, while a full hearing on winding-up is pending.
Industry reports indicate that the retailer had struggled with ongoing losses in recent years, contributing to mounting liabilities and ultimately leading to the court intervention.
Next Steps.
The provisional liquidators will now take control of the company’s operations and assets while assessing the viability of the business. Their role includes safeguarding assets, reviewing financial records, and determining whether any parts of the business can continue trading or be sold.
The outcome of the process will have significant implications for employees, creditors, and the retail landscape in towns where Born Clothing has operated, including Thurles and Sligo.
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