Topshop is closing all their stores in the US

28 May 2019, 17:25

Topshop store front/Taylor Swift shocked
Topshop store front/Taylor Swift shocked. Picture: Getty/BBC
Jazmin Duribe

By Jazmin Duribe

The British brand has stores in New York, Los Angeles and Las Vegas.

Topshop has revealed plans to close all of its 11 Topshop and Topman stores in the United States. The extreme closure comes in an effort to cut costs after failing to deal with the rise of online competition.

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Topshop opened its US flagship shop on Fifth Avenue, New York City, in  November 2014. They now have stores in Los Angeles, Atlanta, Las Vegas, San Diego, Chicago, Houston, Washington DC and Miami.

According to reports from CNN, last week Arcadia Group – who owns Topshop – filed for Chapter 15 bankruptcy protection in US court. That means the UK-based company will have protection from their creditors after Arcadia Group listed its assets as $53 million and their total debt as a staggering $179 million.

"Against a backdrop of challenging retail headwinds, changing consumer habits and ever-increasing online competition, we have seriously considered all possible strategic options to return the Group to a stable financial platform," Arcadia CEO Ian Grabiner said in a statement. "This has been a tough but necessary decision for the business."

The news got a very mixed reaction from Topshop lovers.

It's not just the US who will feel the hit either, Arcadia Group will close 23 other stores in the UK. The company has around 500 worldwide and over 320 of those stores are in the UK.

The retailer did not confirm when it will close its doors but shoppers will still be able to grab their Topshop pieces online or select Nordstrom locations even after the stores shut.

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