Monsoon Accessorize have announced that 35 branches will not reopen following the brand going into administration on Wednesday 10 June.
This is everything you need to know about the situation - and the full list of stores that will not be reopening, even after lockdown restrictions are lifted.
Why are stores closing?
Monsoon Accessorize briefly entered into administration on Wednesday 10 June, but it was almost immediately bought out by Monsoon’s founder Peter Simon.
At the beginning of the month, it was reported that the business wrote to landlords stating that shops would have to close permanently if the rent wasn’t waived.
A deal was struck between FRP and Adnea Brands which allows Monsoon Accessorize to continue trading online, but 35 stores will be closed permanently and 545 staff made redundant.
Adnea Brands is also owned by Mr Simon, and the aim is to renegotiate with landlords in order to get a better deal on the remaining 162 store leases, according to administrator FRP.
In a statement, founder Peter Simon said: “Ever Since I opened the first Monsoon store in Beauchamp Place in 1973, this business has been my passion and my life, and I did not want to see it fall victim to this unprecedented crisis.
“Both Monsoon and Accessorize were trading well before the coronavirus pandemic but the business simply could not withstand the financial impact of having to close all its UK, franchise and joint venture stores for almost three months.”
He explains that the move will allow them to serve customers online “without a pause”.
What will happen to the staff?
Tony Wright, joint administrator and partner at FRP, said: “We had to move quickly and decisively to secure the future of Monsoon and Accessorize, as many jobs as possible and the presence of these two iconic brands on the UK high street.
“After assessing a range of options this deal achieves those goals with least disruption to the business in an already challenging retail environment.”
Wright explains: “We are now committed to working with Adena Brands as they enter talks with landlords to agree future terms across their store portfolio and look to transfer more jobs to the buyer.
“We’ll also be working with the Redundancy Payments Service to support all affected employees through this difficult time.”
What stores will not be reopening?
This is the full list of 35 branches that won’t be reopening their doors after lockdown restrictions are lifted:
- Cork, Patrick Street A, Republic of Ireland
- Cork, Patrick Street B, Republic of Ireland
- Dublin, Republic of Ireland
- Liverpool Airport
- St Albans
- Sutton Coldfield
- Tunbridge Wells
- York, Davygate