A British Retail Empire Collapses



Posted by Ed 2 mths ago
Billionaire Philip Green Sheds $3 Billion Amid British Retail Apocalypse
.... in 2019 Green’s luck seems to be running out with his empire crumbling and allegations of sexual misconduct, racism and bullying marring his reputation.

Since 2016, Philip & Cristina Green have seen their estimated wealth fall to $4.8 billion in 2018; $3.5 billion in at the start of 2019; and $2.5 billion by July that same year.

In three years the Greens have lost $3.38 billion. And after another year to forget, Philip and Cristina Green have seen their wealth fall by a billion dollars in 2019 alone as Arcadia, the backbone of their wealth, withers in a bleak period for bricks and mortar retailers.

That dream has faded. And the arrival of his holding group’s annual report today hinted that the worst is yet to come.
By April 2019 the rise of online alternatives like Boohoo and ASOS, and the perceived neglect of Green’s “dowdy” stores meant that Arcadia paid just $1 (76p) to buy Leonard Green’s 25% back–the clearest indicator yet that in just seven years the jewel in Green’s retail crown had dropped from $3 billion to worthlessness.
And even worse news was to follow. In June 2019, the FT reported that Lloyd’s Bank had walked away from Arcadia, selling back their 7.6% stake for the princely sum of £1, ending the long relationship between the family and the bank.
Retail expert Richard Hyman is hugely downbeat on Arcadia’s value–saying that Leonard Green’s sale of Top Shop for $1 suggests the entire group is “worthless.”


Ed 2 mths ago

Ed 2 mths ago
Philip Green's retail empire faces uncertain future without new funds
 Chloe Collins, a senior retail analyst at the industry consultancy GlobalData, said the sales fall was the result of decreased desirability of ranges and a lack of relevance in a competitive market”. She said Topshop was devaluing its brand with heavy discounting and needed to increase its products’ appeal.

Ed 2 mths ago

Ed 2 mths ago
Philip Green's Topshop and Topman report £505m loss
Sir Philip Green’s Topshop and Topman chains slumped to a £505m loss last year as sales fell and the retail tycoon wrote down the value of two of his flagship brands.

Sales at the fashion brands, which have about 350 stores worldwide, fell 9% to £846.8m in the year to 1 September as they struggled to compete with rivals such as Asos, H&M and Primark. Sales fell by 9.8% at the 200 UK stores.
Accounts filed at Companies House on Thursday show the scale of the problems for Topshop and Topman. Sales fell by nearly 16% in the US, where Topshop’s stores are now closed after being put into administration. Even before those closures, the accounts reveal that the chains employed about 900 fewer staff. 

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