THE owner of WH Smith’s high street shops has emerged as a frontrunner to buy the UK arm of accessories’ chain Claire’s.
Investment group Modella Capital has been in talks with the retailer’s US parent company Ames Watson over a potential deal.
Claire’s appointed administrators for its UK and Ireland business last month after filing for bankruptcy in the US.
The administrators at advisory firm Interpath have since been in talks with potential buyers about a possible sale to secure the future of the chain on British high streets.
But Modella is understood to have drawn up the outline of a deal directly with Ames Watson, as first reported by Sky News — meaning it could be in pole position in negotiations.
There is no guarantee that a deal will be struck — and it would still need to reach a separate agreement with Interpath.
Claire’s 306 shops in the UK and Ireland have remained open as usual while advisers have assessed options.
Modella bought WH Smith’s high street outlets earlier this year and will rebrand shops to TGJones.
It has become a significant force in the British retail industry, having bought arts and crafts retailer Hobbycraft last year, along with stakes in Paperchase and Tie Rack.
Interpath and Modella declined to comment.
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WAGES UP AT AMAZON
AMAZON has announced an above inflation pay rise for its employees — as it looks to shake-off perceptions around its pay.
From the end of the month the minimum starting pay will rise by 5.9 per cent to £14.30-an-hour, or by 5.5 per cent to £15.30-an-hour in some locations.
It means salaries for frontline employees will start at a minimum of £29,744.
The increase will affect tens of thousands of staff across the UK, said Amazon — adding that its minimum starting pay will have risen by 43% since 2022.
The firm’s UK country manager, John Boumphrey, said: “Our UK frontline employees are essential to our success, which is why we’re proud to increase our minimum starting wage.
“Beyond this competitive wage, we offer industry-leading benefits and meaningful career development opportunities for all employees.”
PANIC ON POTS
SAVERS are rushing to withdraw cash from pensions, fearing that Chancellor Rachel Reeves may slash tax-free allowances in the Autumn Budget in late November.
The Financial Conduct Authority revealed an 8.6 per cent surge in first-time withdrawals last year, with nearly a million people accessing their pots.
Pensions minister Torsten Bell has refused to rule out cuts to the tax-free allowance.
BAD AIR DAYS
FLIGHT delays are worse than before the pandemic, with major airlines struggling to stay on schedule, according to Which?
British Airways, EasyJet, Ryanair, TUI, Jet2 and Wizz Air all saw a drop in punctuality compared to 2019, with Tui faring the worst.
Only 59.2 per cent of its UK flights left within 15 minutes of schedule.
The airlines put some of the blame on air traffic control shortages and strikes.
