Gap to Close U.K. Stores, Offload France Business in Overhaul
(Bloomberg) -- Gap Inc. said it will shutter all of its stores in the U.K., while offloading brick-and-mortar operations in France as part of a broad review of the retailer’s European business.
The company plans to maintain its e-commerce operations in Europe while closing company-operated Gap Specialty and Gap Outlet stores in the U.K. and Republic of Ireland by the end of September, according to a statement Wednesday.
The chain is in talks with Hermione People and Brands, a branch of FIB Group, to take over Gap stores in France. Gap also said it’s negotiating to sell its Italian locations to an unidentified partner.
The moves are part of strategic review started last year as the company tries to boost profitability and improve operations amid a pandemic that has battered apparel retailers. The U.S. remains the largest market for the company, which owns brands such as Old Navy and Banana Republic in addition to its namesake chain.
Gap’s shares climbed 2.7% at 2:27 p.m. in New York.
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