British fashion group Arcadia begins its breakup. Evans has been sold to City Chic Collective for 23 million pounds; It also operates with a network of 5 multi-brand stores that have not been acquired and will continue to operate normally. Some of the eCommerce workers will become part of the Australian brand.
Arcadia, a company owned by Philip Green, has not been able to overcome the consequences of the pandemic. On December 1, he announced his entry into a bankruptcy, which has put at risk more than 13,000 jobs of its different brands, among which are: Topshop, Topman, Dorothy Perkins, Wallis, Miss Selfridge, Evans, Burton and Outfit.
The Evans brand is over 90 years old and sells plus size clothing. The brand generated more than 60 million pounds in annual sales before being hit by the coronavirus pandemic. Its online and wholesale businesses reported 26 million pounds in sales.
Until March Deloitte, administrators of Arcadia, will have to sell the existing shares of Evans.
City Chic Collective obtains good results in its actions
The Australian company started talks to buy Evans last month, but it won’t be until May that full brand integration is achieved.
He Financial times has shared the statements of Citibank analysts: “The business is highly complementary and adds a new geographic growth path”For City Chi. “We estimate an accumulated earnings per share of 16% for fiscal year 2022”They added.
He Citi Chic Collective group It already offers its products through brands such as Millers and Crossroads, but with this new acquisition they will enter the market of large sizes for women.
Other companies that have been interested in the purchase of the Arcadia group are: Mike Ashley, owner of Frasers Group, Chris Wootton, CFO of Frasers or Authentic Brands, as shared in fashion.es.