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Britain's Boohoo in Talks to Buy Arcadia Brands

British online fashion retailer Boohoo confirmed on Friday that it was in exclusive talks with the administrators of Philip Green’s collapsed Arcadia group over the purchase of the Dorothy Perkins, Wallis and Burton brands.

Boohoo, which on Monday bought the Debenhams brand out of administration for 55 million pounds ($75.4 million), said there was no guarantee the talks would result in a deal.

Sky News reported on Thursday that Boohoo would pay about 25 million pounds for the brands.

While the internet has been reshaping the British retail landscape and the clothing sector for more than a decade, multiple lockdowns to stem the spread of COVID-19 have accelerated the move to home shopping.

Arcadia collapsed into administration in November, putting more than 13,000 jobs at risk.

On Monday Boohoo rival ASOS said it was in exclusive talks with Arcadia’s administrators over the acquisition of the Topshop, Topman, Miss Selfridge and HIIT brands.

The Boohoo deal to buy the Debenhams brand excludes its stores and 12,000 staff. All its stores will permanently close this year.

Arcadia’s administrators sold its Evans brand to Australia’s City Chic for 23 million pounds last month.

Reporting by James Davey; Editing by David Goodman

Source: Reuters

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