Majestic Wine has announced that the business is to close some of its 200 UK stores, and focus on its ‘Naked’ brand going forward.
This immediate change will see the company rebranded as ‘Naked Wines’, although more concrete details of store closures and the company’s direction will be announced in June, along with the full-year results.
It is at this time that any job losses will also be announced.
The company was founded by entrepreneur Rowan Gormley in 2008, and remained in the position as CEO following the company’s acquisition by Majestic in 2015 for £70m.
In a statement regarding the rebrand, Gormley said: “It is clear that Naked Wines has the potential for strong sustainable growth, and we will deliver the best results for our shareholders, customers, people and suppliers by focusing all our energies on delivering that potential.
“We also believe that a transformed Majestic business does have the potential to be a long-term winner, but that we risk not maximising the potential of Naked if we try to do both. Where we have no choice but to close stores we will aim to minimise job losses by migration into Naked.
“Therefore we have taken a decision to focus all of our capital and energies into delivering the long-term potential of Naked, and releasing value from Majestic. Our plans for doing this are well advanced, and we look forward to sharing the final details in June.”
Naked also announced that they are expected to hit sales of £500m this year.