Another 714 jobs to go as Topshop owner Arcadia closes 31 more stores permanently following High Street clothing giant’s collapse
- Sir Philip Green’s retail empire fell into administration at the start of December
- It is understood latest cuts will result in closure of all 21 of group’s Outfit stores
- It comes a day after deadline for rescue bids set by administrators at Deloitte
Arcadia administrators are set to permanently shut another 31 of the fashion group’s stores by the end of January, with the loss of 714 more jobs.
Sir Philip Green’s Arcadia retail empire collapsed into administration at the start of December.
Arcadia, which once consisted of 444 UK retail chain stores including Topshop, Miss Selfridge, Dorothy Perkins, and Wallis, is the latest leading high street company that has been battered by the pandemic.
It is understood that the latest set of cuts, first reported by The Times, will result in the closure of all 21 of the group’s Outfit stores.
Outfit, which was acquired by Arcadia from Sears in 1999, is not a fashion brand itself but sells all of Arcadia’s retail brands in out-of-town destinations for shoppers.
It comes after reports that Topshop’s flagship store in Oxford Street, London, is set to be sold by administrators.
Arcadia administrators are set to permanently shut another 31 stores by the end of January. Pictured: Topshop flagship store in Oxford Street, London, which is reportedly up for sale
It is understood the latest cuts will result in the closure of all 21 of the group’s Outfit stores
The three-story building opened in 1994 and had its own DJ booth and nail bar.
Reports suggest property adviser Eastdil has been appointed to oversee the sale of the building, while Savills would advise on future leasing options.
Arcadia and Deloitte declined to comment on the closure update.
The move comes a day after the deadline for rescue bids set by administrators at Deloitte.
High street stalwart Next is among retail groups to have placed bids to take control of the retail empire.
Deloitte are expected to receive bids worth more than £200 million in the process, which could be completed by the end of the month.
Sir Philip Green with model Kate Moss who first launched a fashion line with Topshop in 2007
Next has been touted as one of the most likely victors in the process, with the listed retailer bidding for the group in partnership with US hedge fund Davidson Kempner.
It faces competition from high street rival JD Sports, which has held talks over a joint bid with US retail giant Authentic Brands.
Last month, administrators agreed the sale of Arcadia’s plus-sized brand Evans to Australian firm City Chic Collective in a £23 million deal.
According to the Times, expressions of interest have valued Topshop at more than £200 million, leading Primark’s owner, Associated British Foods, to walk away from the sale.
It comes days after Debenham’s announced it will close its flagship store in Oxford Street, London, as liquidation of the retail giant continues.
The department store closures will result in the loss of around 320 jobs, with stores in Portsmouth, Staines, Harrogate, Weymouth and Worcester closing their doors for good.
Debenhams will shut flagship Oxford Street store as the wind down of historic chain continues
The company started a liquidation process last month after failing to secure a last-minute rescue sale.
The chain’s remaining 139 shops are currently trying to sell off all their stock – a process made harder by the current national lockdown.
Debenham’s had been in administration since April, but when any hopes of a rescue were dashed, it drew a line under 242 years of trading and put 12,000 jobs at risk.
Experts called the collapse of the two giants at the end of last year one of the most ‘devastating’ weeks in the history of British retail.
Up to 25,000 workers were put at risk of redundancy in the space of 12 hours.
The number of job losses was so large it equated to losing the entire labour force of the UK fishing industry overnight.
It came in addition to thousands of other job losses as a result of the pandemic, which has pushed businesses across all sectors to breaking point.
Peacocks and Jaeger, which are owned by the Edinburgh Woollen Mill Group, fell into administration last month, putting 21,000 jobs at risk.
Laura Ashley went bust in March while fashion giants Oasis and Warehouse fell into administration in April.
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