Earlier this week British mobile retailer Phones 4U announced that it was shutting all of its stores and entering administration. The news came after the retailer learned that both EE and Vodafone had decided to no longer sell handsets through its stores. Vodafone may actually be saving the day, however.
The wireless carrier has reportedly agreed to “take on” the Phones 4U stores, according to Wales Online, though it’s not all sunshine and flowers for the retailer. While all 140 stores are set to remain open for the foreseeable future — they’ll be rebranded to Vodafone stores shortly — 628 employees will lose their jobs at the Phones4U headquarters, Wales Online said Friday. That deal saved the careers of 887 staff who worked in Phones 4U stores, the news outlet said.
The deal was developed by PricewaterhouseCoopers, the firm who was guiding Phones 4U through administration. “We have worked rapidly over the course of the week following our appointment to explore interest in the Phones 4U business and we are very pleased to secure a future for a significant number of stores and continued employment for 887 of the Phones 4u people,” a partner with PwC told Wales Online. “While this deal remains subject to the approval of the UK courts, we are confident that this represents the best available transaction for the Company’s creditors.”