Topshop Australia could close due to rising debt
Bad news for Topshop fans. At this stage the future of the brand in Australia remains unclear.
Fashion favourite, Topshop Australia has been placed into voluntary administration due to rising debt.
The announcement was made yesterday, less than three months after the brand launched its long-awaited online store in Australia.
The turn of events may come as a shock, given Topshop is seemingly a favourite brand in the Australian market. With successful fashion collabs like Ivy Park by Beyonce and a host of fashion influencers such as Sammy Robinson and Laura Jade Stone as patrons of the brand, from the outside Topshop was killing it.
According to reports, the brand will continue to operate as normal - good news for the 760+ Australian employees. Topshop will also continue to honour gift cards and returns. Although this could change, so keep an eye out if you are a gift card holder.
Financial advisory and restructuring company, Ferrier Hodgson has been appointed as the administrator of the business and will work with Arcadia Group (who own Topshop) to create a more sustainable model. So, don't worry there is hope for Topshop Australia yet!
Earlier in the year brands Marcs and David Lawrence also went into voluntary administration but were saved at the last minute by Myer who acquired both failing brands. Myer currently owns 20% of Topshop Australia, so who knows? It might be Myer to the rescue again.
Topshop officially opened the doors to it's first Australian store back in 2011. Since that time it's continued to expand with nine stand alone shops in Australia and 17 concession areas in Myer stores around the country. Topshop officially launched a native Australian online store in March 2017.