Jobs at risk as Debenhams sold
HUNDREDS of jobs in Glasgow are now at risk as it has been announced Debenhams will close its remaining 118 UK stores for good.
A total of 12,000 jobs are expected to be impacted after the brand was sold to online fashion retailer, Boohoo for £55 million.
There are three Debenhams branches in Glasgow.
The deal will see Debenhams products sold by Boohoo from later this year, allowing enough time for liquidators to continue closing the retailer’s sites once they are allowed to reopen after Covid-19 lockdown restrictions are lifted.
But with stores closing across the 242-year-old brand, it is unlikely many of the remaining 12,000 jobs will be saved.
Boohoo said the deal represents a “fantastic opportunity” to target new customers and launch into the beauty, sports and homewares market for the first time.
The company highlighted that Debenhams has six million beauty shoppers.
Boohoo said: “The group intends to rebuild and relaunch the Debenhams platform, helping further the group’s stated ambition to lead the fashion ecommerce market, and grow into new categories including beauty, sport and homeware.”
Boohoo shareholders appeared to welcome the deal, with shares up 4% in early trading yesterday.
In hints that it intends to take on the might of Amazon, Boohoo said it would create the UK’s largest marketplace across fashion, beauty, sport and homeware – expanding the range of products sold via Debenhams marketplace.