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Why Topshop and Dorothy Perkins Could Be the Next Retailers to Close Stores

One of the biggest names of the U.K.’s high street could be the next victim of the rapidly-changing retail environment.
Sir Philip Green’s Arcadia Group — which owns Topshop, Dorothy Perkins, Miss Selfridge and others — is preparing for restructuring proceedings, which could include widespread store closures and job losses, inside sources told Sky News.
The group will likely propose a Company Voluntary Arrangement (CVA) — a U.K. insolvency procedure somewhat akin to Chapter 11 in the U.S. as both give companies temporary relief from creditors in order to reorganize in hopes of returning to profitability.
Sources told the publication that the proceedings could begin as soon as late April or early May, though 75 percent of Arcadia’s stakeholders by debt value would need to approve the plan. Among the most significant creditors are the retailer’s landlords and the Pension Protection Fund (PPF).
The company currently operates more than 2,500 locations worldwide, including about 570 standalone stores, though it has closed about 210 stores over the past two years. If the CVA is approved, it will follow in the footsteps of high-street chain New Look, which announced plans to shutter 85 stores last year as part of its restructuring efforts.
The British high street has

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Via:: https://footwearnews.com/2019/business/retail/topshop-closing-stores-arcadia-group-bankrupt-insolvency-1202761467/