29th Jan 2021 10:03
(Alliance News) - Online retailer boohoo Group PLC confirmed Friday it is in exclusive discussions with the administrators of Philip Green's high street empire to buy Dorothy Perkins, Wallis and Burton.
"These discussions may or may not result in agreement of a transaction. A further announcement will be made when appropriate," boohoo added.
The acknowledgement came after Sky News revealed on Thursday that talks were ongoing between the company and administrators.
Shares in boohoo were 0.1% higher in London on Friday morning at 334.39 pence each.
The news caps off a week of online businesses snapping up their older high street rivals.
On Monday, Boohoo said that it had agreed a GBP55 million deal to buy the brand and website of Debenhams, but will not take over the company's high street shops, which look set to close.
At the same time, ASOS PLC, another online fashion retailer, said it was in exclusive talks to buy other parts of Arcadia.
ASOS is interested in the Topshop, Topman, Miss Selfridge and HIIT brands.
The carve-up of Debenhams and Arcadia between boohoo and ASOS could see 1.4 million square metres of retail space coming vacant and available to let according to the real estate adviser, Altus Group.
According to Sky News, bosses at boohoo have indicated they might pay a little over GBP25 million for the Dorothy Perkins, Wallis and Burton brands. A deal could be announced as soon as next week, the broadcaster said.
Arcadia employed around 13,000 people and ran 444 stores across the UK before it entered administration at the beginning of December.
By Paul McGowan; [email protected]
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