The Italian luxury fashion brand Roberto Cavalli has closed down its outlets in USA and aims to liquidate all its operations in the country.

The brand, on the verge of bankruptcy in the US, has lately sought negotiation with creditors and has bought time to source new investment.

The plan has to be submitted for court approval and get validated by the majority of creditors. However, there were no details on how many investors it was in talk with.

An official spokesperson announced on 31 March that while many executives have submitted their resignation, several other employees have been asked to leave. The spokesperson also added that the Roberto Cavalli Group will soon be filing for liquidation bankruptcy.

The brand has been facing lot of constraints and problems ever since Gian Giacomo, former Versace executive, became the CEO in 2015.

The fashion house has been ever since struggling to get new investments. Notably, the group’s online operations have been closed down until logistics are re-routed through Europe.