All Topshop stores to close with 2,500 jobs at risk as ASOS buys chain for £295m

The Daily Star’s FREE newsletter is spectacular! Sign up today for the best stories straight to your inbox

All brick and mortar Topshop stores are to close after ASOS confirmed it has bought the brand for £265 million.

The online behemoth has acquired Topshop, Topman, Miss Selfridge and HIIT from the administrators of Arcadia, two months after its collapse.

Administrators for Sir Philip Green's retail group said ASOS has also paid another £65 million for current and pre-ordered stock.

However all Topshop stores will close, with just 300 jobs saved.

In total ASOS will pay £295million for the brands, plus a further £30million for all stock.

It will pay an additional £30million to account for any outstaying liabilities and creditor orders.

• 

  Daily Star's newsletter brings you the biggest and best stories – sign up today

Approximately 300 employees across design, buying and retail partnerships will transfer to ASOS – meaning at least 2,500 retail jobs will be lost as a result of the takeover.

The transaction excludes the Topshop, Topman and Miss Selfridge store network which, as at February 1, comprises approximately 70 leasehold sites.

Completion of the transaction is expected on February 4, 2021.

ASOS chief executive Nick Beighton said: "We are extremely proud to be the new owners of the Topshop, Topman, Miss Selfridge and HIIT brands.

"The acquisition of these iconic British brands is a hugely exciting moment for ASOS and our customers and will help accelerate our multi-brand platform strategy.

"We have been central to driving their recent growth online and, under our ownership, we will develop them further, using our design, marketing, technology and logistics expertise, and working closely with key strategic retail partners in the UK and around the world."

Sir Philip Green's Arcadia retail empire collapsed into administration on November 30, under the weight of a £750million debt pile exacerbated by the coronavirus pandemic.

Administrators last month confirmed all 21 Outfit stores, alongside a further 10 shops for other Arcadia brands will close, in a move which will impact more than 700 jobs.

Last week, Boohoo said it was in exclusive talks to buy the Dorothy Perkins, Wallis and Burton brands in a move which will also not include any stores.

Asos said its acquisition of the four brands will "resonate" with its core customer base of "20-somethings" in the UK.

• Money
• ASOS

Source: Read Full Article