von Lucas Blumer and Niklaus Vontobel
The Swiss subsidiary of the Hong Kong-based company Esprit has filed for bankruptcy, as the fashion platform “Fashion United” has reported. The company wanted to reorganize itself in the midst of an “economic slowdown”.
As “Fashion United” further reports, Esprit Switzerland Retail AG (ESRA), a wholly owned subsidiary of Esprit, has opened insolvency proceedings in a Swiss court. She explained that she would now concentrate on a “comprehensive reorganization” and “strengthening her business with wholesale and franchise partners”.
In a filing with the Hong Kong stock exchange, where Esprit is listed, the company said the bankruptcy and resulting store closures were “unavoidable.” They are the result of an economic downturn, high energy prices and logistics costs as well as negative consumer sentiment in Europe and ultimately high rents for “unsuitably large stores”.
Esprit noted that there will be “no direct material adverse impact on the group and the business” and the rest of the company’s operations will remain normal.
Shop closed in Schaffhausen
Anyone who wanted to go shopping in the Esprit on Stadtschaffhauser Vordergasse today won’t get far. At the main entrance to the branch there is a note informing you that the business is temporarily closed. We welcome customers at the branch in Wil SG. This is also displayed on the internet as “open”, unlike the Schaffhausen store, which is already marked as “permanently closed”.
The note at the entrance to the Schaffhausen branch.
Again “Blick» reports that employees were only informed about the closure of the Swiss branches today.