Montreal-based luxury e-commerce platform Ssense has filed for protection under Canada’s Companies’ Creditors Arrangement Act after its largest lender moved to force a sale, escalating the financial strain on one of the most prominent players in online fashion retail.
Founded in 2003 by brothers Rami, Bassel and Firas Atallah, Ssense grew into a global name by curating high-fashion labels such as Maison Margiela, Acne Studios and Jacquemus, often at discounted prices. But mounting pressures have left the company vulnerable. A spokesperson confirmed the retailer is now seeking court protection to retain control of its assets and operations, calling the lender’s decision to trigger a sale process “deeply disappointing.”
The collapse of the “de minimis” import loophole has added to the turmoil. Until this month, shipments under $800 into the U.S. were exempt from tariffs. With the exemption gone, Canadian retailers face duties as high as 35 percent, a cost increase that threatens Ssense’s ability to stay competitive in its most important market.
The filing comes at a moment of broader instability across luxury e-commerce. MatchesFashion shut operations in 2024, LuisaViaRoma declared bankruptcy earlier this month, and Farfetch only survived after being acquired by Coupang. In the United States, Saks is still working to repair damaged supplier relationships after missed payments.
Ssense’s troubles were visible before tariffs tightened. U.S. sales plunged 28 percent in 2024, reversing a four-year boom between 2019 and 2023 when the company had tripled revenue, according to data from Business of Fashion.
The company has outlined plans to restore vendor trust, rebuild U.S. demand and stabilize cash flow. “Our mission to discover and champion emerging creative talent is unchanged,” its spokesperson said, adding that the restructuring process would provide “time and stability to emerge stronger.”
