ASOS, the London-listed online fashion retailer, is exploring a sale of the TopShop brand it bought from the wreckage of Sir Philip Green’s collapsed retail empire less than three years ago.
Sky News has learnt that ASOS, which will publish its delayed full-year results next week, is at the early stages of a process that could see it offload what was once one of the best-known names on the high street.
City sources said this weekend that a sale was not certain to proceed, and it was unclear how much ASOS might raise from selling the brand.
It was unclear whether any talks are already taking place with potential buyers.
A potential disposal is said to be one of the options being examined by Jose Antonio Ramos Calamonte, who took over as chief executive last year.
He unveiled a 12-month turnaround plan last October focused on sharpening it operating performance and reducing costs, but has been caught in the vice-like grip of soaring inflation and declining consumer spending power.
Mr Calamonte has reduced stock by 30%, exceeding a key target, and refinanced part of its borrowings.
In May, ASOS announced it had secured £275m of new debt facilities from Bantry Bay Capital, a specialist lender which also has exposure to UK retailers including Superdry.
This week, it said it would delay its annual results and strategy update until next Wednesday to enable PricewaterhouseCoopers (PwC), its auditor, to “complete its planned testing”.
The company, which has seen its shares plunge by 40% over the last year, bought TopShop, TopMan, Miss Selfridge and HIIT brands in February 2021 after a fiercely fought auction run by the administrators to Arcadia Group.
The deal valued the assets at £265m, although inventory and forward purchase orders took the overall price to £330m.
The disclosure that it may now be for sale again is likely to reawaken interest from some of the losing bidders in that process.
These could include ABG, the owner of Ted Baker and a…
