Mothercare has agreed the sale of its Early Learning Centre brand to the owner of the Entertainer toy shop chain for up to £13.5m.
The struggling retailer, which was forced to strike a rescue deal with creditors as part of a restructuring and refinancing last year, said the proposed disposal would bolster its ambition to be free of bank debt by the end of this year. Mothercare said it did the deal with TEAL Brands because it did not have"the necessary capital, resources or scale" to continue to invest and develop own‑brand ELC toys.
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