The British Broadcasting Corporation (BBC) reported that the British clothing retail group Arcadia was on the verge of bankruptcy due to the impact of the new crown epidemic prevention measures and fierce competition in online shopping. Even if some peers offer emergency loans, it is still difficult to reverse the decline.
Arcadia owns chain clothing store brands such as Topshop, Topman, DorothyPerkins, Burton, MissSelfridge, Evans, and Wallis. The BBC quoted senior group sources as reporting that Arcadia will enter bankruptcy proceedings “within hours” and the jobs of about 13,000 employees may be lost.
AFP reported that Arcadia chairman Philip Green’s reputation was damaged four years ago due to the shocking collapse of the old British department store chain BHS he owned; now Arcadia is facing a bankruptcy crisis , may cause Philip Green to be hit hard again.
On the other hand, British sportswear retail tycoon Mike Ashley’s Frasers Group confirmed on November 30, 2020 that it had proposed a 50 million pound loan to Arcadia to help avoid Bankruptcy.
However, sources told the BBC that they did not expect Ashley to propose buying Arcadia.
Frasers Group said in a statement: We are aware of recent media reports that we may provide Arcadia emergency funding. We can confirm that we have proposed a loan of up to 50 million pounds to Arcadia Group and have submitted preliminary conditions. We are currently waiting for a clear response from the other party.
