ir Philip Green’s retail empire is preparing to appoint administrators as early as next week, putting thousands of jobs at risk, Sky News reported Friday

The Arcadia Group, behind chains like Topshop and Burton, is about to collapse within days and is preparing to appoint administrators for Deloitte

Arcadia said today: “We are aware of the recent media speculation about the future of Arcadia. The forced closure of our stores for an extended period as a result of the Covid-19 pandemic had a significant impact on trade in our businesses as a result of which the Arcadia boards have worked on a number of contingency options to secure the future of the Group’s brands ”

The company added that brands will continue to trade and stores will reopen in England and Ireland as soon as state Covid-19 restrictions are lifted next week

Sky News said a retailer said a breakdown was “inevitable” after talks with a number of lenders about a $ 30 million emergency loan GBP had ended unsuccessfully

The company reached out to prospective lenders to borrow the sum to prop up the deal after the last lockdown hurt trading plans before Christmas This was reported earlier this month

If the bankruptcy is confirmed, it would likely result in a dispute among creditors to get their hands on the company’s assets

It comes after a turbulent few years for Arcadia since it dumped BHS in 2015 The ongoing decline in brick and mortar retail was suddenly accelerated by the devastating success of the pandemic

Arcadia was restructured last year through a Voluntary Company Agreement (CVA) This model enables companies to close some locations or achieve rent cuts

Dave Gill, Usdaw National Officer, said, “This is a devastating blow to Arcadia workers and could not have come at a worse time, just before Christmas. We are seeking urgent management meetings”

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World News – UK – Arcadia faces management with jobs at risk