Forever 21 UK winding down operations, to close all stores
Administrators for Forever 21 UK have confirmed that all three UK stores will close down following the collapse of the American fast-fashion retailer.
The brand’s three remaining stores in London, Liverpool and Birmingham have launched a major £30m stock clearance sale.
Forever 21’s UK business appointed Damian Webb and Allan Kelly of RSM Restructuring Advisory LLP as joint administrators on 30 September after the parent company in the US filed for Chapter 11 bankruptcy.
Plans to close as many as 350 stores of its 800 will affect the California-based company’s entire UK estate, which has shrunk significantly since the brand first launched in the UK in 2010.
Forever 21 also plans to close most of its stores in Asia and Europe, and will exit Japan and Canada. About 180 doors are expected to close in the US, while operations will continue in Mexico and Latin America.
Damian Webb, a retail restructuring partner at RSM UK, said: “The decision by Forever 21 to file for Chapter 11 bankruptcy in the US has regrettably led to the UK company being placed into administration.
“Despite the parent company's financial difficulties across its worldwide estate, the Forever 21 brand has remained very popular with shoppers, and we are anticipating huge interest in this closing down sale. Visitors to Forever 21's UK stores in London, Liverpool and Birmingham can expect to see some very attractive prices from the outset.”
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