Fancy dress chain sold in £70,000 pre-pack deal

Luvyababes, the high street fancy dress outlet with outlets in Nottingham and Derby, has been sold in a pre-pack deal after entering administration owing over £400,000 to creditors.

The firm, which called in administrators from Leonard Curtis in January, was bought by Okyloki, which is run by Luvyababes founders David and Amanda Williams, for £70,000, with 44 staff transferring to the new company. Four staff were made redundant.

Luvyababes claimed a downturn in high street sales was enough to send one of the East Midlands’ best-known fancy dress shops into administration.

Luvyababes, which is headquartered in Manchester, had suffered from increasing overheads and losses as a result of loss-making stores in Bury and Bolton, according to documents seen by TheBusinessDesk.com.

In the six months to 30 September, Luvyababes made a lost of £350,000.

The firm had one secured creditor, the NatWest bank, which has been paid back. Administrators say that unsecured creditors are unlikely to receive what it is owed to them.