Streetwear Brand Acquired Amid Challenges, Saving 82 Jobs

  • Just Hype saved from collapse through pre-pack administration deal
  • Investor Sarjan Dulai acquires the business, saving 82 jobs
  • Brand faced challenges due to falling sales and excess stock post-Covid
  • Carnaby Street store closed in March but will continue online and through stockists
  • Business entered administration on 31st March with Quantuma Advisory as administrators
  • Co-founder Bav Samani: ‘No significant changes to business, products or services’
  • New investors to help grow brand domestically and internationally

Streetwear brand Just Hype has been rescued from collapse following a pre-pack administration deal. Investor Sarjan Dulai acquired the business, saving 82 jobs. The Leicester-based brand faced challenges due to falling sales and excess stock post-Covid, which led to its Carnaby Street store closing in March. However, it will continue trading online and through stockists under the new ownership. The company entered administration on 31st March with Carl Jackson and Kelly Mitchell of Quantuma Advisory appointed as administrators. Co-founder Bav Samani explained that the brand expanded aggressively during Covid, leaving them with a large stock overhang and heavily indebted. He added that the new investors will help grow the business both domestically and internationally without significant changes to products or services.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the rescue of a streetwear brand from collapse, the acquisition by investor Sarjan Dulai, the number of jobs saved, the reason for financial difficulties (falling sales and excess stock), the closure of a store, the appointment of administrators, and the plans for future growth under new ownership. The article also includes quotes from the co-founder of the brand explaining the situation and their plans moving forward.
Noise Level: 3
Noise Justification: The article provides relevant information about a company’s financial situation and its rescue by a new investor, but it lacks in-depth analysis or exploration of the factors contributing to the crisis and potential long-term solutions.
Financial Relevance: Yes
Financial Markets Impacted: The acquisition of Just Hype by investor Sarjan Dulai impacts the financial stability of the company and its ability to continue operating through its website and stockists.
Financial Rating Justification: This article discusses a pre-pack administration deal that saves the streetwear brand from collapse, impacting the financial situation of the company and its future operations.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: The article discusses the financial struggles of a streetwear brand, but no extreme event is mentioned in the last 48 hours.

Reported publicly: www.retailsector.co.uk