Palmers Faces Closure of Stores in Salzburg as New Investor Steps In

The Austrian lingerie manufacturer Palmers, which has recently filed for insolvency, is undergoing significant restructuring as it attempts to secure its future. In a drastic move, the company has shuttered 47 of its retail locations, including those in prominent areas such as Salzburg's Schwarzstraße and Zell am See.

As part of its strategy to recover from financial difficulties, Palmers is actively seeking investment from foreign backers. While the details regarding these investors remain undisclosed for the time being, the management is optimistic that their support will facilitate a new beginning for the struggling brand.

This decision comes after a challenging period for the company, during which it faced declining sales and increasing operational costs, ultimately leading to its insolvency declaration in February. The closures are a significant contraction for a brand that has been a staple in the Austrian retail landscape for many years.

Industry insiders suggest that the move to close multiple stores is a necessary step to stabilize operations and focus on more profitable locations. The management team is now concentrating on rebuilding the brand's market position and enhancing its product offerings to better align with current consumer preferences.

As Palmers navigates this turbulent phase, the future of its remaining stores remains uncertain. The company is committed to keeping stakeholders informed about its plans and progress as it embarks on this restructuring journey.