New Look will close all its stores in China by the end of the year, saying yesterday that it had failed to achieve sufficient sales and profitability to justify the future investment its operations required.
The budget fashion retailer’s remaining 120 stores in the country will be shut by the end of December and its head office in Shanghai will follow shortly after.
New Look has been among companies struggling amid tough conditions on the high street. In March it entered into a company voluntary arrangement in which 60 of its 593 British stores were earmarked for closure. Such agreements are an insolvency process that allows retailers to close shops and reduce rents to cut costs.
