Online retail giant Boohoo has snapped up fashion brands Oasis and Warehouse following their administration.
The Manchester online retailer paid restructuring firm Hilco, the owner of the Homebase DIY chain, £5.25m in cash for the brands which closed their doors in April as the coronavirus pandemic took its toll.
The deal sees Boohoo take over the online businesses and IP of the brands.
The latest acquisitions wraps up a strong three months for Boohoo.
Sales for the three months to 31 May were up 45 per cent to £367.8m, that’s up from £254.3m for the same period last year.
It said there was strong growth across Boohoo, PLT and Nasty Gal while MissPap, Karen Millen and Coast continue to “trade strongly.” .
Boohoo said trading in the middle of March through to early April was mixed, as a result of the impact of the COVID-19 pandemic, initially with a marked decrease in year-on-year growth.
Performance across all of its brands and geographies improved in April, with a “robust performance” delivered in May.
In May, Boohoo also secured the full takeover of its majority-owed Prettylittlething group amid controversy over the father-son relationship of the two founders.
Boohoo raised nearly £200m from investors in May to pursue acquisitions and capitalise on the troubles of its rivals in the face of the covid crisis.
CEO John Lyttle said: “During unprecedented and challenging times, the Group has delivered a very strong trading and operational performance.
“I am proud of how our colleagues and business partners from around the world have responded to ensure that we can safely bring to our customers the latest fashions, great
value, fantastic prices and best in class service. Whilst there is a period of uncertainty within the markets in which we operate, the Group is well-positioned to continue making progress towards leading the fashion e-commerce market globally.”
Senior analyst Nigel Frith of AskTraders, said: “What’s not to like? Boohoo is going from strength to strength. Not only has the fast fashion online retailer managed to continue to build on April’s impressive sales, but the AIM-listed firm is also snapping up bargains that the coronavirus crisis has left in its trail.
“Few firms have managed to perform well in coronavirus lockdown, but Boohoo is definitely one of them.
“It has outperformed in the crisis in every way with sales surging, profits being upgraded and acquisitions in full swing.
“The strategy of buying up high street names with strong brands but poor sales and transferring them to its online platform is proving to be a winner.”