Fashion Group Esprit Closing Down in Germany
Published: August 9, 2024, 10:04 PM
Fashion group Esprit is closing down in Germany. All 56 branches will be shut down by the end of the year, affecting approximately 1,300 employees.
Esprit is closing all its stores in Germany, a total of 56, by the end of the year. Around 1,300 employees will lose their jobs. The brand rights for the insolvent European business are being sold to the British financial investor Alteri.
Esprit did not disclose the purchase price. The company will be wound up and its products sold off in stores. Alteri will not take over the operational business, meaning both stores and employees will be let go.
Despite the closure, Esprit plans to continue operating as a brand. Products will continue to be manufactured and sold in Germany, but the exact form has not been announced.
Esprit Europe GmbH and six other subsidiaries filed for insolvency in self-administration in May. The process was initiated by the Düsseldorf District Court on August 1.
Esprit operates in approximately 40 countries worldwide. The company’s main market is Germany, which is affected by the insolvency. The group’s headquarters are based in Hong Kong.
Esprit previously applied for protective shield proceedings in 2020, leading to the closure of 50 stores and the loss of 1,100 jobs in Germany.