Fashion chain Jack Wills is closing eight of its stores around the country less than two weeks after the company was saved from collapse.
The struggling fashion chain has revealed that its stores in Derby, Durham, Kingston, Marlborough, Reigate, Rock, St Albans and Tunbridge Wells.
The closures were announced by the company's new owner Sports Direct, which acquired the fashion chain out of administration on August 5. The decision to shut the shops leaves Jack Wills with 90 UK stores.
Jack Wills - which was founded in Salcombe, near Plymouth - had been struggling in the months leading up to its administration and had brought in Big Four accountancy firm KPMG to advise on its future.
The firm was eventually appointed as its administrator.
Its financial position had been significantly weakened when its owner Bluegem Capital Partners refused to inject more cash into the chain to save it.
In the end, Mike Ashley's Sports Direct beat off competition from Philip Day's The Edinburgh Woollen Mill to buy the firm in a pre-pack deal.
Eleven days on from the rescue, Sports Direct has confirmed it will close the eight stores after failing to negotiate new terms with its landlords.
A spokeswoman for Sports Direct said: “Since rescuing Jack Wills from administration last week, we have been working hard with landlords to try and keep as many stores in the existing portfolio open.
"Unfortunately, the landlords involved with these eight stores have not cooperated. Where possible, Sports Direct is committed to finding new roles within the group for all affected Jack Wills staff.”
Sports Direct declined to say how many staff were affected by the closures.
This is not the first time Sports Direct has attempted to strong-arm its landlords, and last year it threatened to close four House of Fraser stores after shopping centre owner intu refused to lower rents.
Mike Ashley is known for buying distressed companies cheaply and attempting to turn them around with drastic changes to their business models. The retail tycoon, who also owns Newcastle United, has been aggressively buying up companies over the last few years leading to his portfolio growing substantially.
However, his turnaround plans have not always worked and recently the billionaire lost a large stake in Debenhams when the company collapsed.
Sports Direct's dealings with House of Fraser have also not gone smoothly since the company bought the failing department store chain for £90m last year.
In Sports Direct's accounts Mike Ashley admitted that he regretted buying House of Fraser describing its condition as "terminal".
