Shein still keen to buy Topshop from Asos

Fast-fashion disruptor Shein is reportedly still interested in buying Topshop from Asos, the former golden egg of Philip Green’s now collapsed Arcadia empire. 

Asos has received “non stop interest” from a range of influential retailers such as the Chinese shopping giant, as well as Authentic Brands Group the owner of the collapsed Forever 21 and struggling Ted Baker brands – both of which continue to trade –The Times reported. 

Rumours of a possible Topshop takeover surfaced last October with reports suggesting Asos was looking to sell the fashion brand to improve its debts amid a loss making period.

Asos, of which Frasers Group holds a 12.6 per cent stake, bought the high street darling and a number of its sister brands such as Topman and Miss Selfridges for £265m back in 2021 after Arcadia plunged into administration. 

The company fought off bids from fashion powerhouses such as Next and Shein and the deal highlighted the new found power of online retailers in a sector once dominated by brands with a large physical store presence.

But Asos has struggled to keep face amid a downturn in online shopping and increased competition from much cheaper online shops such as Shein and Temu. 

The brand, which was first As Seen On Screen, has been orchestrating a turnaround plan which includes turning “stock into cash”. 

On Wednesday, the chief José Antonio Ramos Calamonte said  revenue declined by 18 per cent in the 26 weeks to 3 March to £1.4bn but it was ahead of plan on its stock reduction process. 

As for Shein, the acquisition of a renowned British brand would further boost its profile as it awaits approval for an IPO listing in either New York or London. 

City A.M. has contacted Authentic Brands, Shein and Asos for comment. 

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