The UK’s fashion retail sector is facing an unprecedented crisis in the run-up to Christmas. Retail giants have long been collapsing almost after a two-week massacre in which the Debenhams branch went bankrupted this morning, less than 24 hours after the Arcadia. The group took office.
Jaeger, Peacocks and Moss Bros had already announced CVA (the BRITISH of Chapter 11) in the past two weeks, however, the collapse of Arcadia Group, owned by the debatable billionaire Sir Philip Green, and Debenhams, underlined the intensity of the crisis on Main Street.
Non-essential stores in the UK were forced to close their doors at a time that began on November 5 and ends tomorrow, but the reopening came too late for some of those already on the edge of the abyss, apparently.
Debenhams announced this morning that it will definitely start its troublesome business and end all 124 stores, with the possible loss of 12,000 jobs, after sports chain JD Sports ended talks about a imaginable rescue agreement for the branch chain.
It is sometimes the idea that JD Sports ended the talks in component because the foreign retailer Arcadia, better known for the Fast Fashion Logo Top Shop, has a giant number of concessions at Debenhams outlets and entered the administration after days of intense rumors about its future. .
Debenhams directors had been for a customer since the summer, but the sales procedure “didn’t result in a proposal that could be delivered,” he said.
Hilco, a liquidation specialist, manages the ongoing store industry to sell the remaining inventory while still looking for a customer; However, without a customer, once this inventory is sold, the points of sale will be closed permanently. early new year, and must most likely disappear from the UK after more than two hundred years of operation.
The collapse of the branch is quite a surprise: Debenhams came into management in April for the time being in a year and has already closed 22 stores, 28 of which are expected to close in 2021. Arcadia was well known, however, the difficulties of the two retail teams endangered 25,000 more jobs in just two days.
Geoff Rowley of FRP Advisory, co-director of Debenhams, said: “All moderate steps have been taken to complete a transaction that would protect Debenhams’ long term. However, the economic landscape is incredibly challenging and, along with the uncertainty facing the UK Retail Sector, no viable agreement has been reached.
With the release of JD Sports, the highest corporate that is likely to be interested in a large number of outlets is Frasers Group, billionaire Mike Ashley, who increased his stake in Mulberry last month.
Ashley has also been associated with the imaginable acquisition of Arcadia’s brands and was reportedly offered a $68 million loan to Arcadia, to give him a break and for the two sides to begin discussions, refuted this weekend. long-term interest in Debenhams and has acquired a $136 million stake in the company, only to see that it was eliminated last year as a result of a debt restructuring agreement with the branch lenders.
However, Ashley will offer $406 million for corporate securities to less than the portion of the expected value through the retailer owner. Several major British fashion chains and branches, adding John Lewis, Marks
The danger to the UK retail market is that the surprise waves of the last two retail collapses can act as a contagion. Just two weeks ago, the high-end logo of Jaeger, owner of the Austin Reed and Jacques Vert logos, fell under that of Peacocks, another fashion chain of the EWM group. On Friday last week, British menswear and clothing store Moss Bros said it would offer a voluntary agreement to the company because it had been seriously affected by COVID-induced blockade measures.
The company, which has 800 employees, said their evening clothes had been affected by the cancellation of weddings, school dances and special occasions, Royal Ascot added.
According to the Center for Retail Research, after 11 months this year, 53 retail businesses have failed in the UK, up from 43 in all of 2019. The worst years past were 2008 and 2012, with 54 and 53 respectively. Chess. However, task losses surpassed all previous records, and Debenhams took missed or threatened retail tasks this year to exceed 100,000.
The U. S. retail logos are not the only ones in the world. U. S. J. Crew and Victoria’s Secret and Canadian footwear logo Aldo are closing operations in the UK this year.
I’m editor-in-chief of MAPIC and editor-in-chief of the World Retail Congress, two of the world’s largest annual retail events. Organizing, communicating and
I’m editor-in-chief of MAPIC and editor-in-chief of the World Retail Congress, two of the world’s largest annual retail events. I organize, talk and chair meetings around the world that focus on how other people replace and what it means for the retail, food and beverage and recreational corporations that serve them. And it’s complicated! Forget the weary mantra that killed the online store and don’t forget, however, that retail has been a dog-eating dog, that the names of the stars rise and go down quickly and that if the stores adopt the madness, the long run may be brighter. Don’t think it’s not vital for you, your pension budget owns those malls!