ABG calls in administrators to Ted Baker, leaving jobs at risk

Ted Baker’s parent company Authentic Brands Group (ABG) has today called in administrators, leaving hundreds of high street jobs at risk.

The British retailer has filed a notice of intention to appoint administrators just weeks after a licensing partnership was abandoned, according to Sky News. It terminated Ted Baker’s contract with AARC, which operated the British-founded brand's retail stores and e-commerce platform in the UK and Europe.

ABG-owned No Ordinary Designer Label, which trades under the Ted Baker brand, has appointed Teneo Financial Advisory as administrators.

This move is expected to lead to a wave of store closures and job losses. However, sources told the media outlet that Ted Baker would continue to trade during the insolvency process.

It comes just 18 months after US-based Authentic Brands Group, which owns a raft of fashion and activewear brands including Hunter, Juicy Couture and Reebok, acquired the Ted Baker brand for £211 million.

Ted Baker first faced trials and tribulations back in 2019 when its founder Ray Kelvin stepped down after accusations about his treatment of female employees.

This, coupled with pandemic-related losses, caused the business to suffer. By 2020, the company was forced to cut hundreds of jobs and raised £100 million to rebalance its financials.

The news comes after Frasers also appointed administrators to Matches less than three months after buying it from Apax. Following the news, almost 300 Matches employees lost their jobs after Frasers Group confirmed the plans.