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Mereway Bathrooms enter into liquidation

Kbb News – Mereway Bathrooms is the latest Kbb brand to enter liquidation following the demise of sister business Mereway Kitchens, earlier this year.

In what seems like a weekly occurrence, another well known Kbb brand has ceased to trade with the doors closing for good at Mereway Bathrooms after attempts to find a buyer for the embattled business ultimately failed.

Mereway Bathrooms was formed in 1997 under the Mereway umbrella, but like its sister brand Mereway Kitchens, the business has found the current challenging Kbb industry climate unsuited for an ailing business to either turn its fortunes around, or find a buyer willing to attempt a turnaround.

It is a shame that the Mereway brand has exited the market but news of Mereway Bathrooms following in the footsteps of Mereway Kitchens is not likely to come as a shock to many, given the challenging conditions facing the entire Kbb industry, not just in the UK, but throughout Europe.

Highlight Green Acres Ltd, a subsidiary of Sigma 3 Group, acquired the assets of Mereway Kitchens out of its previous administration in August 2023, but less than 6 months later, Mereway Kitchens was closed for good with the new owners unable to reverse the companies fortunes.

A spokesperson for Highlight Green Acres said in January this year: “Despite substantial investment and significant progress in many areas, it has not been possible for Mereway to achieve the required sales volumes that were needed to make this business profitable.”

Crisis of Consumer Confidence for the Mereway Brand

Although they shared a name and origins, Mereway Kitchens and Mereway Bathrooms operated as separate companies yet when it was noted that Highlight Green Acres were struggling to convince new customers to have faith in the ailing brand, the turnaround of Mereway Kitchens by Highlight Green Acres seemed an impossible struggle.

The spokesperson for Highlight Green Acres further said in January this year;  “The impact of the original business going into administration in 2023 appears to have significantly impacted customer confidence. This, along with a weakening market in the last three months has materially impacted the business. It is therefore with great sadness we have reached the conclusion that there was no viable alternative to this action.”

So although Mereway Kitchens and Mereway Bathrooms operated as separate companies, amid the continued challenging Kbb market conditions, it wouldnt be too far fetched to consider that consumers confidence for the Mereway Bathrooms brand was adversely affected from the closure of its sister company. 

Given the consumer crisis in the entire Kbb market at present, with independents and nationally known big brands going under every week, who could blame consumers for being more and more cautious.

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