British fashion retailer Ted Baker plans to appoint administrators, a spokesperson for owner Authentic Brands Group confirmed on Tuesday, more than a year after it sold itself to the US-based fashion group.
The intention to appoint administrators comes six weeks after No Ordinary Designer Label, which trades under Ted Baker’s brand, terminated its partnership with Dutch firm AARC on Jan. 29.
“The damage done during a period under AARC in which NODL built up a significant level of arrears was too much to overcome,” John McNamara, strategy and transition chief for ABG, said in response to Reuters queries.
“It is hopefully some consolation for customers that NODL will continue to trade online and in stores,” he added.
Neither the spokesperson nor McNamara said who the administrators were likely to be.
Sky News reported earlier on Tuesday that NODL planned to appoint Teneo Financial Advisory as administrator in a move expected to result in store closures and job losses.
Teneo declined to comment.
Pandemic-related losses forced Ted Baker to put itself up for sale in 2022, and the maker of suits, shirts and dresses known for their quirky details went private after ABG agreed to a roughly 211-million pound ($269 million) buyout deal. ABG also owns brands like Forever 21 and Juicy Couture.
Ted Baker had already been trying to win back investor confidence after former CEO Ray Kelvin left in 2019 following misconduct allegations, which he denied.
By Eva Mathews, Yadarisa Shabong and Richard Rohan Francis; Editing by Shailesh Kuber and Emelia Sithole-Matarise
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