Matches Fashion will be put into administration after parent company Frasers said it was unwilling to provide the money needed to keep the business going.

Matches, which according to its latest accounts employed a little under 700 people, was making “material losses” and was “consistently” missing its target, Frasers said on Friday.

Sports Direct owner Frasers said that the money needed to keep Matches running would be “far in excess” of what it thinks viable.

Frasers only bought Matches in December, in a deal worth £52 million. It was bought from private equity firm Apax Partners, which had owned the retailer since 2017.

In recent years the business has been loss making, and in the year to the end of January 2023 made a £33.5 million loss.

“Since Frasers Group acquired Matches, the business has consistently missed its business plan targets and, notwithstanding support from the group, has continued to make material losses,” Frasers told shareholders on Friday.

“Whilst Matches’ management team has tried to find a way to stabilise the business, it has become clear that too much change would be required to restructure it, and the continued funding requirements would be far in excess of amounts that the group considers to be viable.

“In light of this, Frasers has been informed that the directors of Matches have taken the decision to put the Matches group into administration.

“Frasers remains committed to the luxury market and its brand partners.”

Matches mainly sells online but also has a few shops in London.