2nd Thoughts Limited, which trades as the Ellie Louise and Happit chain of value clothing stores in England and Scotland, was sold for an undisclosed sum to Ellie Louise Trading Limited last Friday.

The deal includes the business and assets of the company.

On January 5, Bob Maxwell and Edward Klempka, of business rescue, recovery and restructuring specialist Begbies Traynor, were appointed joint administrators to the firm, which has its headquarters in Garforth.

Leeds-based solicitors Carrick Read Insolvency acted for the buyers.
Mr Maxwell said: "This is the best possible outcome in the circumstances – achieving a prompt sale of the business as a going concern will enable the remaining 49 stores to continue trading, safeguarding the existing jobs.

"This long-established firm has been another victim of the downturn in the retail sector, but the business built up over the last 30 years will remain in the hands of the family, giving it the best chance of recovery."

Selling mostly budget ladies' wear, the company has its head office and warehouse in Garforth and was founded by Mick Broughton.

The family business began life as a stall on Seacroft market and was then run by sons, Gary and Kevin.

In June 2008, 2nd Thoughts Ltd bought the Dunfermline-based fashion chain Happit, consisting of 40 shops in Scotland.

At its peak, the group grew to 82 stores nationwide, including 12 in Yorkshire, and had a turnover of £14 million a year.

When it went into administration last week, it employed 270 staff and had 53 stores.

By the time it was bought by the new company there were 240 jobs left, including 55 in Yorkshire, according to a spokeswoman for Begbies, who said a further four stores outside Yorkshire had also been closed.

She added: "It's up to the new management to decide what to do with these (240] jobs going forward."

A total of 10 stores in Yorkshire are being kept by the new firm, including Ellie Louise shops in Yeadon, Rothwell, and Sherburn near Leeds, as well as Hemsworth and Normanton near Wakefield.

In total, 24 jobs were lost in West Yorkshire following closure of stores in Pudsey and Shipley, as well as redundancies at Garforth.

According to Begbies, the firm had suffered from prolonged poor trading due to the downturn in the retail sector, as well as increased competition from discount retailers.