Blacks Leisure, the owner of the Blacks and Millets outdoor chains in the U.K., said takeover talks with several parties are continuing while reporting that its first half losses narrowed.
The company said that as it previously stated on Oct. 19, it is in preliminary discussions with several parties regarding either a possible sale of the entire company or certain assets. The 317-store company came close to administration, the British form of Chapter 11, last year before striking a rescue deal with creditors that saw it close over 100 stores.
For the first half ended Aug 28, losses before taxes were reduced to £8.5 million pounds ($13 mm) from £15.2 million ($24 mm) a year ago. Sales fell by 22.6% to £90.6 million ($137 mm), reflecting the store closings. Like-for-like sales for the first half decreased 6.0% in the core outdoor segment, resulting from continuing difficult trading conditions. But Blacks Leisure said margins had improved in the autumn/winter season and its core outdoor segment's like-for-like sales fell 3.5% in the second-half to date.
