1,200 jobs at risk as The Original Factory Shop calls in administrators

The Original Factory Shop (TOFS) volition this week go the latest retailer to telephone successful administrators, putting astir 1,200 jobs astatine risk.

Sky News has learnt that the discount chain, which was already connected the brink of illness erstwhile it was bought by Modella Capital past year, is expected to name Interpath to grip its insolvency arsenic soon arsenic Wednesday afternoon.

TOFS, which opened its archetypal store successful the precocious 1960s, trades from astir 130 stores.

Money latest: The UK's chickenhearted store boom

Sources said that Interpath was expected to proceed to commercialized the property during the medication process.

Modella has been holding talks with 3rd parties astir a merchantability of the concern since filing a announcement of intention to name administrators earlier this month, though retail experts are sceptical that a purchaser for a meaningful portion of TOFS volition beryllium found.

If the insolvency is confirmed, it would beryllium the 2nd large retailer to illness this week.

The accessories concatenation Claire's - besides owned by Modella - appointed Kroll arsenic administrator to its UK and Irish operations connected Monday, putting astir 1,300 jobs astatine risk.

A operation of authorities policy, landlords' demands to instrumentality backmost galore of TOFS' amended sites and a poorly handled modulation to a caller logistics supplier had impacted the discount chain's fiscal performance.

Modella besides owns businesses including WH Smith's historical precocious thoroughfare estate, which it has rebranded arsenic TG Jones, arsenic good arsenic Hobbycraft.

The retail manufacture continues to look important headwinds, with chains including Poundland having closed important numbers of shops.

Modella has been contacted for comment, portion Interpath declined to comment.