On-line menswear retailer Dressmart.com is expected to file for
bankruptcy today. The web site, which operated across eight
European countries, had received most of its funding from AP-fund,
a pension fund owned by the Swedish government.
The company went into receivership in July. Earlier this month,
it was announced that Dressmart was being sold to the New Wave
clothing group for one Swedish kroner (about seven pence). It was
previously valued at about £900,000, but New Wave was to take on
debts of £750,000 and was to provide £375,000 of additional
funding. The London office of Dressmart, which employed 20 staff,
was already closed down at this time. It was the company’s
technology platform that New Wave wanted to integrate with its
Cyberwave business-to-business operation.
However, the bid by New Wave has now been turned down because of
disagreement among its shareholders, leading to the announcement
that the company would file for bankruptcy.
Ironically, the web site’s advertising tag line read: “All the
right brands for men who want to stay in business.”
