The Future Of Russell & Bromley Is At A Pivotal Crossroads

Family-owned businesses are in the news this week. With Russell & Bromley, the fifth-generation family-owned premium footwear retailer, reaching a pivotal crossroads.

According to reports, disagreement among its family shareholders over the company’s future has intensified in recent weeks, with some advocating for a sale to Next in partnership with Retail Realisation and others favouring a private equity pathway through Auralis.

A report by Fashion Network (citing The Times) reveals that certain Bromley family members are leaning towards a sale to Next alongside Retail Realisation – a specialist in stock clearance. Under this plan, Next would reportedly acquire the Russell & Bromley brand and intellectual property, while Retail Realisation would handle the closure and liquidation of the brand’s 37 physical stores and excess stock.

Others within the family are advocating for a deal with Auralis, a private equity-backed consortium led by Total Capital Partners and headed by Weird Fish CEO David Butler. This option promises to safeguard most of the retailer’s 450 jobs, its full store estate, and its distribution centre – potentially ensuring operational continuity and brand heritage.

The family-owned company was founded in 1880 and is currently run by fifth-generation family member Andrew Bromley.

The Telegraph reported that last year, the company embarked on a five-year turnaround plan dubbed ‘Re Boot’ after posting an operating loss of £9m the previous year. In a statement in October, Mr Bromley said: “We are currently exploring opportunities to help take Russell & Bromley into the next phase of our ‘Re Boot’ vision.”

Next is reportedly working with Retail Realisation, signalling that its interest lies primarily in Russell & Bromley’s brand and online presence, not in maintaining its retail footprint. Under this model, Next would absorb the brand, while Retail Realisation would manage a structured store closure and asset disposal.

On the other side, the Auralis-led private equity interest proposes a far different route – keeping the substantial UK store network intact, along with key staff and infrastructure.

Next’s plan could result in the loss of all 37 stores and threaten up to 450 roles, though brand continuity would persist via Next’s platforms. The private equity approach would safeguard these jobs and sites, maintaining community presence.

The family owners will have to decide between immediate liquidity and a clean transition to UK’s leading retail group Next or preserving family legacy through continued ownership or stewardship under a like-minded investment firm.

Birketts LLP understands the issues facing family-owned businesses. Our corporate, insolvency and dispute resolution teams are experienced in ensuring if such issues arise, there are measures in place to ensure they are resolved with minimal risk, cost and disruption to the business. We regularly advise on shareholders’ agreements, and potential exit structures.

About the Author - Hayley Songhurst is a Senior Associate in the Dispute Resolution at Birketts LLP. Find out more about the work they do with family businesses on their website here