Mike Ashley's Frasers Group is the frontrunner in the race to save Harvey Nichols - Oli Scarff/Getty ImagesHarvey Nichols has slumped to a £49m loss as it scrambles to stave off collapse with a rescue deal. Directors said some proposals for the sale could require Harvey Nichols to enter administration before a transaction could be completed. Harvey Nichols' directors said the business had been hit by inflation, currency movements and the cost of living squeeze. Harvey Nichols runs seven department stores in the UK and Ireland, and another six overseas through franchise models. However, Harvey Nichols has struggled to replicate the success of its Knightsbridge flagship.