Sir Philip Green’s Arcadia Group who own Topshop, Burton and Dorothy Perkins are facing collapse within days.
According to Sky News, Sir Philip is preparing to appoint administrators Deloitte as early as next week, and an industry source said the collapse is “inevitable.”
This comes after Arcadia Group failed to secure a £30m loan and 13,000 jobs are now facing an uncertain future.
Once the company is formally declared bankrupt it is expected that the creditors will tussle for the assets.
Topshop is Arcadia’s most valuable brand as well as Topman which are worth several hundred million, and Boohoo Group is expected to be looking to take them both on.
Arcadia said in a statement, “We are aware of the recent media speculation surrounding the future of Arcadia.
“The forced closure of our stores for sustained periods as a result of the COVID-19 pandemic has had a material impact on trading across our businesses.
“As a result, the Arcadia boards have been working on a number of contingency options to secure the future of the group’s brands.
“The brands continue to trade and our stores will be opening again in England and ROI (Republic of Ireland) as soon as the government COVID-19 restrictions are lifted next week.”