The Evan brand owned by Arcadia has been sold to Australia-listed City City Chic for a transaction worth £23 million.
After the collapse of Philip Green’s Arcadia, the company brought Evans brand and wholesale business. This transaction does not include UK stores.
Evans is a retailer of plus-size clothing and footwear. Australia’s City Chic is also a plus-size fashion retailer with stores in Australia and New Zealand.
The deal does not include UK stores, but Deloitte says it will “continue trading for the time being.”
Other Arcadia brands, such as Topshop, Topman, and Dorothy Perkins, are still on the market. Deloitte said: “There was an important expression of interest in every brand,” and an update will be offered after the new year.
Last week’s Sky News revealed that they then discussed joint bids from American investment firm Davidson Kempner.
Sources said the companies “could but not certain” they will bid in the coming weeks.
With over 500 stores across the UK, Arcadia fell into control earlier this year after the end of a last-minute rescue contract involving Mike Ashley’s Fraser Group.
Guy Elliott is Senior Vice President of Consultancy Publicis Sapient. He commented on the collapse of Arcadia:
“In the past few years, Arcadia and its brands have not been able to relate to the demographics that their respective brands have targeted, and Topshop, in particular, has lost much of its appeal to the younger generation,” he said.
“There’s no doubt that Topshop will be very much fought as part of the management process. We hope that new owners can turn it into a retail giant once, with the right investment in products, digital and marketing.” He added.
