Sir Philip Green is planning a Christmas vacation to an island in the Maldives that costs £ 30,000 a night while his fashion empire Arcadia is on the verge of collapse
- Sir Philip Green has planned a Christmas vacation in the Maldives this year
- It comes as his high street fashion empire teeters on the verge of collapse
- He is expected to spend the festive season at Reethi Rah Resort
- The Arcadia group will appoint administrators on Monday
Sir Philip Green was planning a Christmas vacation to a £ 30,000 island in the Maldives when his high street fashion empire Arcadia was on the verge of collapse.
The 68-year-old retail tycoon will be basking at Reethi Rah Resort over the festive period as his empire – which includes TopShop, Dorothy Perkins and Miss Selfridge – faces administration as soon as next week.
Former BHS employee Lin MacMillan told The Mirror, “This is going to go down like a lead balloon with Arcadia employees. It's like sticking two fingers up. & # 39;
Another, Hannah Cullen, added, “It's so insensitive. He's not in control of reality, he's living in a bubble. & # 39;
Earlier this week, Green was shown wrapped in a fur coat as he lay on the deck of a superyacht off Monaco.
News Philip Green (pictured), 68, will be basking at Reethi Rah Resort during the festive season as his empire – which includes TopShop, Dorothy Perkins and Miss Selfridge – faces administration as soon as next week
Past A-list guests in the Maldives include Chelsea football club owner Roman Abramovich and Hollywood stars Tom Cruise and Russell Crowe. In the picture an island in the Maldives
Max Irons, Cara Delevingne and Sir Philip at a TopShop opening in New York in 2014
Past A-list guests in the Maldives include Chelsea football club owner Roman Abramovich and Hollywood stars Tom Cruise and Russell Crowe.
ANALYSIS: Arcadia would be "the brightest star on the main street to fall".
By Susannah Streeter, Senior Investment and Market Analyst at Hargreaves Lansdown
Arcadia was fighting before the pandemic, but it would still be the main street's brightest star to fall.
The group's Topshop brand used to be a leader in fashion retail, but with online competition as fierce as Asos and Boohoo, trading had gotten much tougher.
Not only did the pandemic accelerate these trends, it wreaked havoc on the retail empire by forcing 550 stores to close. The tinkering with rent cuts and the dramatic shrinking of business seems to have been too late.
It will be a big blow to Sir Phillip Green, who proclaimed himself King of High Street and funded a retail academy around the corner from the flagship Oxford Street Top Shop Store.
However, fashion has been a big victim of the retail pandemic. In October, in-store sales fell 22 percent. New lockdowns and digital drift only add to the pain.
If the brands are to survive, they have to do so with a much smaller in-house footprint and a much larger online presence.
The Topshop business in particular, with its fashion experience and strong customer base, should be keenly interested, although the Dorothy Perkins and Burton brands may be much harder to sell in the hard-to-relocate middle class.
Former footballer David Beckham and chef Gordon Ramsay are said to have spent several New Year breaks at the resort with their families.
The Beckhams are said to have paid £ 250,000 for an 11 night celebratory stay.
In what is possibly the largest collapse of the coronavirus pandemic in Great Britain to date, the Arcadia Group will appoint Deloitte administrators as early as next Monday, although the plans could still be delayed.
The revelations came to light on Black Friday as non-essential retailers in England remained closed while the four-week lockdown continued. The crisis had already resulted in 250,000 job losses or potential layoffs.
The move, allegedly after Sir Philip failed to get a £ 30 million emergency loan to keep the retail giant alive, puts its 13,000 employees at risk four months after shedding 500 jobs at its headquarters.
Usdaw union leaders said it was "a devastating blow to Arcadia workers and could not have come at a worse time, just before Christmas," adding that they were seeking urgent meetings with management.
And Julie Palmer, partner at restructuring firm Begbies Traynor, said: "The mood music suggests that Sir Philip Green has used up his last lifeline and that administration may be the inevitable target for Arcadia."
Arcadia Group said it was working on "emergency options" to secure the group's future and expected their stores to reopen next week when the UK government's last four-week lockdown ends.
England is in the midst of a lockdown due to the pandemic that has forced the closure of all stores selling items that are not considered essential.
The block will expire next Wednesday, when all shops are allowed to reopen.
An Arcadia spokesman also admitted that the "forced shutdown of our stores for extended periods of time as a result of the Covid-19 pandemic had a significant impact on trade in our businesses".
Today, shortly before 4 p.m., ITV Business Editor tweeted Joel Hills Said: & # 39; I just got off the phone with Mike Ashley who told me he was interested in a deal to take over the Arcadia group. He says he's interested in all brands. & # 39;
In March 2019, Mr Ashley told The Times that he would not buy Sir Philip's Arcadia group for even a pound, quelling speculation that he was considering an acquisition or partnership with a private equity firm.
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