New Look has appointed CBRE to oversee its departure from China and its closure of 130 stores in the country.
According to a report by Sky News, the fast fashion chain has decided to call time on its entire Chinese operation as it focuses instead on improving its UK business.
It’s believed New Look will announce this week that it has appointed CBRE to find new tenants for its 130 Chinese store portfolio.
Having already closed 20 stores in China, New Look is also thought to be considering exiting France, Belgium and Poland.
The retailer’s overseas operations lost more than £37 million in the year to March.
In June this year, it was widely reported that New Look would be slowing down its ambitious Chinese expansion scheme as it continued to undergo a CVA process in the UK.
Back in the summer executive chairman Alistair McGeorge said he intended to row back on expansion plans implemented under former chief executive Anders Kristiansen.
“We are taking a view on all our stores,” McGeorge told Press Association in June.
“We are taking a good hard look, and we will probably do some downsizing.”
New Look owns and operates its Chinese outlets directly, rather than through a franchise agreement.