The fancy dress retailer Smiffys has been sold to Ad Populum after falling into administration. R.H. Smith & Sons (Wigmakers), trading as Smiffys, appointed Jane Steer and Sarah O’Toole of PwC as joint administrators following financial difficulties the business faced in a post-pandemic economic climate.

Headquartered in Leeds, Smiffys has been operating for over 130 years and has stores in Leeds, Liverpool, Newcastle, and Oxford. Ad Populum, known for brands such as NECA and Wizkids, has now acquired Smiffys in a definitive agreement. Joel Weinshanker, Ad Populum founder and MD, will lead the worldwide Smiffys business. 

Founded in 1894 by Robert Henry Smith, Smiffys began as a wigmaker creating court and surgical wigs. Today, the company is known for a distribution network of nearly 5,000 products to over 1,700 stockists worldwide, and a shipping volume of over 26 million items annually.

This underscores the vulnerability of legacy businesses in the current cutthroat UK market. Despite their long-standing history and established brand presence, these companies are not immune to rapid market changes, economic downturns, and external shocks. 

Ad Populum plans to leverage its product development innovation, creative capabilities, and omnichannel retail solutions to work with Smiffys’ existing management team. Building on Smiffys’ history and infrastructure, Ad Populum aims to grow its position as a global leader in costume design, manufacturing, and distribution.

Smiffys experienced a significant drop in demand during the pandemic when events requiring fancy dress were canceled. Despite a recovery in its position and expected return to profit, the company faced difficulties securing adequate financing. The acquisition includes all business assets, ensuring the continuation of its physical stores under new ownership.

The sale to Ad Populum ensures that all of Smiffys’ operations, including its physical stores, will continue as normal. This acquisition highlights a broader trend of rising insolvency levels in the UK, with many businesses, especially in retail facing financial distress in the wake of recent economic challenges.

The challenges faced by Smiffys reflect a broader trend where even well-established businesses must continuously adapt and innovate to survive in an increasingly competitive and unpredictable economic landscape. This situation highlights the need for legacy businesses to secure robust financial strategies and diversify their revenue streams to withstand market pressures.