BLACKBURN’S billionaire Issa Brothers have missed out on the chance to buy retailer Topshop, following the collapse of the brand’s parent company Arcadia.
The EG Group owners, whose company was founded with a single petrol station in Bury in 2001, had hoped add the troubled fashion brand, which has a branch on Spring Hill in Ewood and whose store in the Mall, Blackburn closed in March last year, to their growing business empire which now includes Asda and Mellor’s iconic Stanley House venue.
The Issa Brothers
However, Arcadia has now confirmed the sale of it’s Topshop, Topman, Miss Selfridge and HIIT brands to online fashion retailer ASOS for £265 million instead.
ASOS chief executive Nick Beighton said: “We are extremely proud to be the new owners of the Topshop, Topman, Miss Selfridge and HIIT brands.
“The acquisition of these iconic British brands is a hugely exciting moment for ASOS and our customers and will help accelerate our multi-brand platform strategy.
“We have been central to driving their recent growth online and, under our ownership, we will develop them further, using our design, marketing, technology and logistics expertise, and working closely with key strategic retail partners in the UK and around the world.”
Arcadia first collapsed into insolvency at the start of December after pandemic closures further exacerbated the group’s troubles.
Topshop’s store at the Mall, Blackburn closed in March last year
Last week, Burnley-based Boohoo said it was in exclusive talks to buy the Dorothy Perkins, Wallis and Burton brands in a move which will also not include any stores.
ASOS meanwhile has now said its acquisition of the four brands will resonate with its core customer base of “20-somethings” in the UK.
It said it expects the deal to complete later this week, adding that it will also see £20 million worth of one-off restructuring and transaction costs.
Administrators for Arcadia said ASOS has paid an additional £65 million for current and pre-ordered stock.
ASOS also told investors on Monday morning that it will take on around 300 employees as part of the deal, which will not include any of the brands’ stores.