UK fashion retailer Boohoo on Friday(29) said that it is in ‘exclusive’ discussions with administrators of collapsed retail giant Arcadia to buy the Dorothy Perkins, Wallis and Burton brands.
The announcement comes just days after Boohoo agreed to purchase the intellectual property assets of failed department store chain Debenhams.
“Boohoo Group Plc… confirms that it is in exclusive discussions with the administrators of Arcadia over the acquisition of the Dorothy Perkins, Wallis and Burton brands,” it said in a brief statement.
“These discussions may or may not result in agreement of a transaction. A further announcement will be made when appropriate.”
Sir Philip Green’s Arcadia group fell into administration in November 2020 casting doubt over the future of its brands and 13,000 jobs.
Any deal would be for the brands, and not the High Street shops. Arcadia employed about 13,000 people and had 444 shops at the time of its collapse.
Boohoo-rival ASOS had revealed early this week that it was in exclusive talks with Arcadia’s administrators about purchasing the Topshop, Topman, Miss Selfridge and HIIT brands.
Recently, Debenhams’ administrators announced that the UK chain will shut all its outlets with the loss of around 12,000 jobs.
Both Arcadia and Debenhams collapsed last month — together risking the loss of 25,000 jobs — having struggled to transition from a bricks-and-mortar business long before the coronavirus pandemic forced shoppers online.
Last year, Boohoo bought the online businesses of Oasis and Warehouse for £5.25 million. That added to its portfolio, which included the Karen Millen and Coast brands, which it bought from administrators in 2019.
Founded in 2006 by Mahmud Kamani and Carol Kane, Boohoo expanded its operations quickly, listing its shares in 2014. It sells fashion, beauty and products and shoes aimed at 16 to 24-year-olds.