Jaeger Boss Quits Ahead Of Key Trading Period

The British fashion label Jaeger is facing going into the crucial Christmas trading period without a permanent boss as its owner battles to turn around its performance.

Sky News has learnt that Better Capital, the investment firm which owns Jaeger, will announce on Monday that Colin Henry has left the company.

Insiders said the company had yet to line up a successor and cast doubt on the likelihood of one being appointed in the near future.

Confirmation of his departure will come just days after Sky News revealed that Mr Henry, who was drafted in in 2013 to revive Jaeger's fortunes, had taken an unexplained 'leave of absence' from the company.

The brand's continuing struggles are the latest headache to befall Better Capital, the private equity firm set up by the prominent investor Jon Moulton.

Last Christmas Eve, City Link, the courier company then owned by Better Capital, collapsed into administration, prompting recriminations over its management and sparking calls from MPs as well as Mr Moulton for an overhaul of the UK's insolvency practices.

Mr Moulton engineered the takeover of Jaeger in 2012, acquiring much of its debt and the company's shares as it languished in administration, a move which dismayed its former owner, the retailer Harold Tilman.

Established in 1884, Jaeger is positioned as a premium British fashion brand, known for its contemporary menswear, womenswear and accessories.

The brand has 64 standalone stores and is sold in premium department stores across the UK.

Since installing Mr Henry with the aim of turning its performance around, Jaeger has reduced its losses but has continued to require further capital injections from Better Capital.

Speaking in January, Mr Henry said he was "pleased with the progress we have made during the (Christmas) period".

"Whilst we are still in the early stages of our five year turnaround, the improved performance from Jaeger Online and at our new concept stores shows our strategy is paying off.

"The consumer environment remains challenging, and there is still a lot of work to do transforming our store portfolio, building the brand and refining our online and in-store offer."

That optimism appeared to be undermined by subsequent statements from Better Capital, which updated the City on its funds' performance in July.

The investor said that Jaeger's trading continued to be "difficult", adding: "The business held too much 'Autumn/Winter 2014' stock which had to be sold through the outlet stores at lower margins.

"Operationally there is still much to go for.

"As part of the planning for 2015/ 2016, several initiatives have been put in place to move the business significantly further forward.

"These include better stock allocation across main standalone stores and concessions, improved staffing and sales management across stores, and further improvements in product fit and style range all to achieve higher net overall margin."

Better Capital also said that Jaeger's value had been written down to £30m at the end of March, a net reduction of £26m during the year.

Mr Henry's exit is not Jaeger’s only boardroom departure this year.

In May, Peter Williams, a veteran of the UK retail industry, stepped down after less than six months as the brand's chairman, citing his other time commitments.

Jaeger and Better Capital both declined to comment.