Next buys footwear brand Russell & Bromley IP for £2.5m

Image: Credit Next

UK retail group Next plc has paid £2.5m for the IP and related intangibles of troubled footwear and accessories company Russell & Bromley and three stores, plus another £1.3m for existing stock.

The three stores Next will acquire are in London’s Chelsea and Mayfair, and in Stone in Kent. Next will own Russell & Bromley's brand and these three outlets, but the future of the remaining 33 R&B stores, plus nine concessions, is in doubt, along with around 400 jobs.

The Russell & Bromley branding first appeared on a shopfront  in 1880, although the company dates back to 1820, when John Clifford Russell opened his first shop. The Bromley name entered the frame in 1873 when George Bromley married the founder’s granddaughter. The company has been family run until now.

As with many famous retail names, both in the UK and elsewhere, the chain was hit by the growth of online retail, issues with supply and costs, and the general economic downturn. One notable common theme in the collapse and subsequent rescue of many retailers has been that the intangible assets, such as brand names and trade marks, as well as databases of customers, has often been what purchasers paid the most for.

In recent years, Next has acquired brands including Made.com, The Joules Group, and Cath Kidston, and went into partnership with US-based brand rescue experts Gordon Brothers to relaunch Laura Ashley in the UK; Gordon Brother had acquired the brand after it collapsed in 2020.

Andrew Bromley, chief executive of Russell & Bromley, which until now has been a family-owned business, said (as reported in The Guardian): “Following a strategic review with external advisers, we have taken the difficult decision to sell the Russell & Bromley brand. This is the best route to secure the future for the brand and we would like to thank our staff, suppliers, partners and customers for their support.” Administrators Interpath were appointed to handle the sale.