A major high street retailer is set to close all 21 of its UK stores despite being rescued in a last-minute takeover deal.
The move follows the purchase of British handbag brand Radley out of administration by Gordon Brothers, the American investment firm that also owns Poundland.
The Boston-based distressed retail specialist acquired Radley’s brand and intellectual property through a pre-pack administration process negotiated with restructuring advisers at FTI Consulting.
While the deal preserves the Radley brand, it does not include the retailer’s store network.
As a result, all 21 outlets across the UK are set to close, with 42 retail roles being lost.
FTI Consulting has been appointed as administrator and is overseeing the insolvency process.
Radley operates across the UK, Europe and the United States, selling handbags, accessories and luggage.
However, administrators said the business had faced mounting pressure from a difficult trading environment.
While the deal preserves the Radley brand, it does not include the retailer’s store network
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In a statement, FTI Consulting said: “The administration appointment follows a sustained period of challenging economic conditions for the retail environment, including declining customer demand and increasing operating costs, all of which have had a negative impact on trading.”
The deal means the Radley brand will continue under its new ownership, but its entire physical retail presence on the British high street will disappear.
Radley’s directors had previously acknowledged significant financial pressures facing the business.
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They warned that rising energy bills and higher mortgage costs for consumers created material uncertainty about whether the company could continue operating.
Radley traces its origins to a Camden Market stall where Australian designer Lowell Harder launched the business during the 1980s. Private equity firm Freshstream acquired the company in 2016 and put it up for sale earlier this year.
The brand’s financial position had deteriorated significantly in recent periods. Pre-tax losses widened to £5.5million in the year ending 26 April 2025, compared with £1.7million the previous year.
Last summer, Gordon Brothers acquired Poundland from Warsaw-listed Pepco for just £1
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POUNDLANDTurnover dropped from £72million to £65.8million, with the company citing closures of loss-making American stores and weaker international wholesale performance.
Gordon Brothers has established itself as a significant force in Britain’s struggling retail landscape. The firm rescued Laura Ashley from administration in 2020 before selling the clothing and homeware brand to American group Marquee Brands in January 2025.
Last summer, Gordon Brothers acquired Poundland from Warsaw-listed Pepco for just £1.
The discount chain has since undergone substantial restructuring, with 149 store closures and approximately 2,200 job cuts. Next had also been linked with a potential bid for Radley.