Topshop sold to ASOS but Cork store expected to remain shut

The Topshop/Topman store in Cork is set to remain closed as it has been confirmed the brands have been sold to online retail giant ASOS for around €334m.

However, the transaction did not include the stores themselves, with a number of people set to lose their jobs.

A statement from the administrators Deloitte was issued this morning, detailing the agreement reached, which is expected to be completed on February 4.

Around 300 jobs have been saved and are to transfer over to the ASOS brand. It's not immediately clear how many of those staff are based in Ireland.

"The Joint Administrators to the Arcadia Group Ltd and various subsidiaries announce the sale of Topshop, Topman, Miss Selfridge and HIIT brands to ASOS plc. The sale will generate total proceeds of £330m for the benefit of creditors.

"ASOS will pay approximately £295m for the brands, goodwill and stock on hand, and will also take on certain liabilities for forward committed stock orders.

"Under the terms of the transaction, ASOS will acquire the brands, intellectual property and inventory. In addition, approximately 300 employees across design, buying and retail partnerships will transfer to ASOS. The transaction excludes the Topshop, Topman and Miss Selfridge store network which, as at 1 February, comprises approximately 70 leasehold sites.

"Completion of the transaction is expected on 4 February 2021," the statement reads.

It adds: "This transaction follows the sale of Evans to City Chic on 23 December 2020 for £23m.

"The process to secure new owners for Burton, Dorothy Perkins and Wallis remains ongoing via exclusive discussions with a potential purchaser."