Tie Rack to close high street stores
Tie Rack is to close all 44 of its remaining high street stores by the end of the year.
The retailer’s Italian owner The Fingen Group will begin the process for shutting the stores today by launching closing down sales. The move will put up to 200 jobs at risk.
A spokesman for The Fingen Group said: “Following a period of prolonged decline in Tie Rack’s fortunes, it is with regret that we today announce this closing down sale. Management are working with staff to provide support during this difficult time.”
The group is understood to have asked accountancy firm Grant Thornton to look for buyers for Tie Rack’s overseas shops although current shareholders will retain ownership of Tie Rack’s online business.
Never Miss a Retail Update!The future of Tie Rack’s stores at airports is uncertain although discussions are understood to be underway with UK airport operators about keeping some of the stores open.
Founded by South African entrepreneur Roy Bishko more than 30 years ago, Tie Rack operated a total of 450 stores at its height in 1998.
Accounts for year to end January 2012 show that Tie Rack made a pre-tax loss of £6.8 million and had a turnover of £68.1 million.
