Frasers and Next vying for collapsed retailer Ted Baker

NEXT and Frasers have emerged as potential suitors for what remains of the collapsed retailer Ted Baker.

Next, which is run by Tory peer Lord Wolfson; and Frasers, which is majority-owned by Sports Direct tycoon Mike Ashley, have both expressed an interest in acquiring the fashion brand, as first reported by The Times.

Ted Baker’s UK parent, No Ordinary Designer Label, collapsed into administration last month, hiring advisers at restructuring company Teneo to oversee the process.

Administrators said it had built up “a significant level of arrears” and had been trading below expectations.

Both Next and Frasers have a reputation for buying troubled retail brands over recent years as many high street names ran into difficulties.

Next saved 100 shops when it bought the retailer Joules in 2022, while Mike Ashley’s acquisitions include the Savile Row tailor Gieves & Hawkes and the cycling brand Wiggle.

As well as buying up other retailers, Mr Ashley has spent recent years taking share positions in some of his biggest rivals including Currys, AO World, Boohoo and Asos. In February he significantly increased a stake in the model train company Hornby. Frasers, Next and Teneo declined to comment. Prior to its collapse, Ted Baker employed around 1,000 people in the UK and ran 46 stores.

Administrators announced the closure of 11 loss-making stores on Monday, including sites in Leeds, Liverpool, London Bridge and Milton Keynes, as well as a further four stores whose landlords served notice.

Around 250 jobs have been lost with the round of closures, which leaves Ted Baker’s presence on the UK’S high streets significantly reduced. Teneo said the stores “have no prospect of being returned to profitability, even with material rent reductions”.

It added: “As such, their closure is believed to be a constructive and necessary step in ensuring the business can deliver a profitable trading performance in the future.”

It is understood that, even if a suitor rescues what remains of the business, the closed stores will not be included.