Ted Baker is set to close its last 31 UK stores this week, putting around 500 jobs at risk, as uncertainty grows over a potential rescue deal involving Mike Ashley’s Frasers Group.
The closures mark the end of the retailer’s presence on the British high street, after months of turmoil and the collapse of its UK holding company, No Ordinary Designer Label (NODL), which entered administration in March.
A potential deal with Frasers Group, which owns Sports Direct and other well-known brands, had raised hopes of a Ted Baker rescue. However, talks have reportedly stalled, with no deal in sight. The retailer’s US-based parent company, Authentic Brands Group, which acquired Ted Baker’s intellectual property in 2022 for £211m, has cited large arrears and disappointing sales as reasons for the brand’s financial difficulties.
Earlier this year, 15 Ted Baker stores were closed, resulting in the loss of 245 jobs. The brand’s troubles began to escalate after its founder, Ray Kelvin, resigned in 2019 amid allegations of inappropriate behavior, which he denied. The company then faced a series of profit warnings and executive departures, exacerbated by the economic impact of the pandemic.
Frasers Group had been in discussions with Authentic Brands Group to secure a licensing deal for Ted Baker, which would add it to a portfolio that includes Flannels, Jim and Jack Wills. The deal was also rumoured to include Reebok, another Authentic brand. However, a lack of progress in negotiations has now led to the closure of Ted Baker’s remaining stores, leaving the brand’s future in the UK uncertain.
Officials from consulting firm Teneo, which oversees NODL’s management, declined to comment on the situation. Both Frasers Group and Authentic Brands Group were also contacted for further comment.