J. Crew, the American retailer known for its womenswear and menswear, is the latest among fashion bigwigs to exit the UK.
The fashion retailer has announced its exit with the permanent closure of all its 6 stores across the country. It added that the decision was arrived at after a thorough review.
The troubles started for the retailer much before COVID-19 happened.
Huge debts as well as its struggle to keep pace with fast-changing fashion trends had already put J. Crew at a critical spot and the onslaught of the pandemic in March was enough to break the spine of the retailer.
Consequently, it had to bring liquidators from FRP advisory to its business in the UK.
J. Crew also tried to restructure its business in May 2020 after losing popularity among American shoppers. So, it’s been tough journey since last couple of years for the retailer.
Following its decision to exit the UK market, the fashion retailer said that it will best able to serve its customers across the country only through its global digital platform.
Earlier this month, J. Crew had emerged from Chapter 11 bankruptcy with Anchorage Capital Group, LLC becoming its majority owner. J. Crew now has US $ 400 million in capital through a term loan due in 2027 and another US $ 400 million via asset-backed loan due in 2025.
Only last week, Next Plc had announced buying majority stake in Victoria’s Secret UK business.