Ted Baker will be closing approximately 15 stores across the UK, including shops in London Bridge and Milton Keynes, leading to nearly 250 job losses, as stated by the joint administrators of the collapsed British fashion retailer.
Ted Baker, a well-known brand in the UK, entered administration last month, following its sale to the U.S.-based Authentic Brands Group over a year ago.
Authentic Brands is seeking a new operating partner to manage the retail and e-commerce business in the UK and throughout Europe.
The UK-based company No Ordinary Designer Label (NODL), which operates under the Ted Baker name, appointed Teneo Financial Advisory as its administrator on March 22.
British fashion retailers are grappling with challenging market conditions. Superdry, a peer of Ted Baker, stated earlier this year that it anticipates no improvement in market conditions in the foreseeable future.
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The administrators said they would be closing 11 Ted Baker stores by April 19, resulting in the loss of approximately 120 roles.
Approximately 25 positions at the head office have also been eliminated.
Additionally, the administrators noted that before their intervention, landlords had already served notices on four additional stores slated to close in the upcoming weeks, leading to an additional 100 job losses.
“The stores slated for closure are currently operating at a loss. After a review by the Joint Administrators, they are considered to have no potential for returning to profitability, even with significant rent reductions,” stated the administrators.
“These store closures, although unfortunate for our dedicated team members, will enhance the business’s performance,” commented Joint Administrator Benji Dymant.
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