Middle East retailer Alshaya steps in for troubled La Senza



The Alshaya Group is set to buy part of La Senza, the troubled UK lingerie business, in one of the first deals of its kind for a Middle East retailer.

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Alshaya has made a cash offer to acquire 60 of La Senza's 146 UK stores from KPMG, which was appointed before Christmas to handle the bankruptcy and restructuring of the chain, UK media reported.

"We can confirm that Alshaya, a leading international retail franchise operator, is in advanced discussions with La Senza regarding a potential acquisition of part of the UK La Senza business", said Lion Capital, the private equity firm that owns La Senza chain in the UK.

Details of the deal were not disclosed, but UK media reports indicated that Alshaya plans to invest around £100m in the UK retail sector over the next two years.

The deal is part of pre-pack administration, under which La Senza briefly went into bankruptcy, before being sold.

Alshaya, which is the partner in the Gulf for brands including H&M, Topshop, Starbucks and Debenhams, runs more than 55 brands across the Middle East and operates 2,000 outlets in 15 countries.

This deal is not expected to affect the La Senza stores in the UAE, which are run by Liwa Trading based in Abu Dhabi.

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