Ted Baker UK is set to shutter 15 stores and trim nearly 250 jobs, according to the joint administrators at Teneo, Benji Dymant, and Daniel Smith. By April 19th, 11 unprofitable stores, including those in Birmingham Bullring, Bristol, Bromley, Cambridge, Exeter, Leeds, Liverpool One, London Bridge, Milton Keynes, Nottingham, and Oxford, will cease operations, resulting in the loss of 145 jobs from both store and head office positions.
These closures are deemed necessary as the affected stores have been consistently unprofitable, with no foreseeable path to profitability even with substantial rent reductions, according to the administrators. The move is considered essential to ensure the company’s future profitability.
Furthermore, four additional stores in Bicester, London, and Manchester will close at the landlords’ request, leading to a further 100 job losses.
Meanwhile, Authentic Brands Group (ABG), the owner of Ted Baker’s intellectual property, is actively seeking a new operating partner for the brand’s retail and e-commerce operations in the UK and Europe. Dymant expressed optimism that the closures would enhance the company’s performance while ABG continues discussions with potential operating partners to revitalize the Ted Baker brand.
The UK and European division of Ted Baker entered administration last month following the failure of ABG’s Dutch partner AARC to fulfill its financial obligations. ABG has clarified that the US arm of Ted Baker remains unaffected by these developments.
