Asos buys Arcadia brands following their bankruptcy
The e-commerce giant, Asos, buys the Arcadia’s brands following their failure caused by coronavirus pandemic and health emergency. The British group will add Topshop, Topman, Miss Selfridge and HIIT to its product range.
The annexation does not happen without some damages: approximately 2500 will be the lost jobs, against the 300 saved, specifically those operating in the fields of design, purchases and retail partnership.
The company paid around 265 million for the brands and 65 million for existing stocks. For the moment, the acquisition already seems to bear fruit, as evidenced by the data, which recorded a surge in sales of 41% in this first fiscal period. This is further evidence of the speed with which Asos manages to adapt to the most difficult moments, as it did during the first wave of the pandemic.
Asos still intends to develop the portfolio of the brands separately, so as to promise customers an even wider choice of products and styles. Beighton, Asos’ CEO, said that the newly acquired labels will enter the e-tailer’s Venture Brands portfolio, joining other brands such as Collusion, Asyou and Reclaimed Vintage.
In a statement, Beighton declared himself very satisfied: “The acquisition of these iconic British brands is a very exciting time for Asos and our customers and will help us to strengthen our strategy to offer a multi-brand platform”.
Cover credits: Asos
