2023-08-31 20:00:50
Three years after a receivership, the horizon is darkening again for Naf Naf. According to our information, the women’s fashion brand, belonging to the Franco-Turkish group SY since 2020, reported insolvency and requested on August 29 its placement in receivership with the Bobigny commercial court. A hearing will be held on September 5 on this subject.
“This choice is made in order to allow Naf Naf to implement all the necessary measures to ensure business continuity”, explains to FashionNetwork.com Selçuk Yilmaz, boss of SY and Naf Naf. In a shrinking market and faced with “declining traffic”, he describes “a deterioration in turnover” and “an increase in the weight of the debt”, while the structural costs remained high.
If it is recorded, the receivership will open the way to a period of observation during which a recovery plan can be built by the owners, while a search for buyers can also be carried out. “This observation period is necessary in order to allow the savings measures in progress to produce a positive impact on the period to come. My involvement remains total, the challenges ahead of us are significant and the support of all of our teams is more than ever necessary for the success of the project”, supports Selçuk Yilmaz.
For its part, the South union invites employees to mobilize on September 5 before the Bobigny commercial court. Sarah Pichout, store manager for the brand and union representative, observes “a great concern and also a lot of anger” among the saleswomen of the Naf Naf shops. She also claims that the salaries of some 800 employees have not yet been paid.
Departures and a PSE at headquarters in 2023
In the spring of 2023, the brand saw the departure of several of its senior executives, including its general manager Luc Mory. The company also conducted a job protection plan (PSE) at its Ile-de-France headquarters last June, resulting in the elimination of 27 positions. “Our costs at headquarters were no longer in line with the turnover developed”, specifies the boss.
The Naf Naf network currently consists of 215 shops (including 84 affiliates). The claimed turnover of the brand, which cultivates feminine and playful fashion, reached 165 million euros in 2022, of which 15% to 20% was made online.
Born in the Parisian Sentier in 1973 under the leadership of the Pariente brothers, the company evolved within the Vivarte group between 2006 and 2018, before being sold to the Chinese group La Chapelle. In 2020, it was the passage through receivership which resulted in the acquisition of the brand by its supplier SY at the helm of the court, faced with the offer of the Beaumanoir group. 220 positions and around twenty stores were then eliminated.
After a summer of slight respite, the ball resumed in fashion distribution. Since the beginning of the year, failures and reductions in scope have followed one another in mid-range clothing in France, with in particular the receivership of Don’t Call Me Jennyfer, Burton of London and Orcanta. But also social plans initiated at Pimkie, Comptoir des Cotonniers and Princesse tam tam.
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