New brand in difficulty in France. Habitat announced Thursday that it had requested its placement in receivership. “Facing extreme economic difficulties which affect the entire development sector, Habitat is forced to place itself under the protection of the Bobigny Commercial Court on which it depends to request the opening of legal redress for its benefit” , indicates the sign.
The brand specializing in furniture, home equipment and decoration, founded in 1964, is a chain of 25 stores. It indicates that it currently employs 450 employees and has generated a “consolidated” turnover of 80 million euros in 2022.
Habitat claims to have “faced profound financial difficulties, largely attributable to previous failing management and exacerbated by more recent factors: a significant drop in store traffic, an inflationary shock and the surge in energy prices, raw materials and transport, with a direct impact on the purchasing power of households, internal social movements having disrupted activity.
Stabilize the financial situation
The request for placement in receivership has “the objective of stabilizing the financial situation of the brand which has never been profitable in France and ensuring the long-term viability of Habitat”. “During this period, activity continues in stores and at head office. Management is preparing a recovery plan through continuation in order to sustainably achieve profitability and honor its commitments,” the press release continues.
The company also states that “the primary objective is to ensure the payment of all suppliers and the delivery of orders to customers in a calm environment adapted to the situation”. She further announced that “a recent strategic review, triggered by internal signals, resulted in measures aimed at rectifying the situation, including the departure of Habitat’s general director”, Franck Deshayes.
Last Friday, around a hundred employees of the brand gathered in front of one of the brand’s Parisian stores, that of Pont Neuf, which must close due to “a plan to terminate the lease early”, without layoffs. , depending on management.