// Forever 21 to launch £30 million stock clearance sale at 3 UK stores
// Forever 21 appointed administrators from RSM Restructuring Advisory after filing for Chapter 11 bankruptcy in the US
Forever 21 has announced three of its UK stores will launch a £30 million stock clearance sale.
The fashion retailer appointed administrators from RSM Restructuring Advisory on September 30 after filing for Chapter 11 bankruptcy in the US.
Chapter 11 protection delays a US company’s financial obligations to creditors to give it time to refinance or sell parts of the business.
- Forever 21: What went wrong?
- Forever 21 to axe 350 stores after filing for bankruptcy
- Ariana Grande sues Forever 21 for £8m over “lookalike” model
Forever 21 said at the time it will axe half of its store estate from around 800 around the world to between 450 and 500.
“The decision by Forever 21 to file for Chapter 11 bankruptcy in the US has regrettably led to the UK company being placed into administration,” RSM UK retail restructuring partner Damian Webb said.
“Despite the parent company’s financial difficulties across its worldwide estate, the Forever 21 brand has remained very popular with shoppers, and we are anticipating huge interest in this closing down sale.
“Visitors to Forever 21’s UK stores in London, Liverpool and Birmingham can expect to see some very attractive prices from the outset.”
Seasonal stock is being delivered, while stock is due to be replenished throughout the winding down period with new lines added frequently.
It is not clear yet as to which stores Forever 21 has targeted for the stock clearance sale.