Fashion retailer Alexon Group Plc has put its loss-making chain Bay Trading into administration. Deloitte will look for a buyer while the business continues to trade.
Alexon put Bay Trading into administration after its credit insurance was withdrawn for the retailer's suppliers due to uncertainty over repayments.
Bay Trading had been relying on support from the rest of the group as it was operating at a loss.
Alexon has two separate divisions: Epcoscan, which trades as Bay Trading, and Alexon Brands, which operates Alex & Co, Ann Harvey, Kaliko and Eastex. Alexon Brands is unaffected by Bay Trading's move into administration.
1,000 employees in 268 branches are at risk of losing their jobs.
Alexon recently reported a full year pre-tax loss of £27.7m, against a profit of £12m the previous year.
The group had hoped to revive Bay Trading with a new design team and fresh product lines.
