Gerry Weber bankruptcy: closure of all stores in Germany!

Gerry Weber bankruptcy: closure of all stores in Germany!

The fashion world in Germany is facing a major setback: Gerry Weber, once a popular name in retail, is closing all stores in the country due to bankruptcy. The well-known branch in the Schloss Arkaden in Braunschweig is no exception. The preliminary creditors' committee and administrators have already approved the takeover concept of the Spanish company Victrix, but without taking over the around 40 shops and outlets in Germany. This means that the Gerry Weber brand will continue to exist, but the company itself will be dissolved. As news38.de reports, Gerry Weber women's fashion will in future only be sold through trading partners who also carry other brands.

What led to this sudden withdrawal? The company has already made unsuccessful restructuring attempts in 2019 and 2023. Last year, 122 of a total of 171 branches were closed, which led to significant job cuts of around 450 jobs. This illustrates how much pressure stationary retail in the textile and fashion industry is under. Rising costs for energy, rent and salaries combined with a weak economy have caused customers to consume more economically. This development is also causing problems for other brands such as Galeria and Esprit, which also had to file for bankruptcy, as t-online.de notes.

Restructuring under Victrix

The Spanish company Victrix, which has been active in the fashion business since 1999, is now planning to restructure production and processes under the name Gerry Weber. The family company based in Mataró, near Barcelona, ​​wants to ensure a seamless transition for business partners and end customers. This restructuring in particular could be crucial given the current pressure on the fashion industry. An upcoming study by the Fashion Council Germany, announced for November 28, 2024, will take a closer look at economic influences, sustainability and digital innovations in the industry, which could further illustrate the challenges that companies like Gerry Weber have to overcome. The study promises exciting insights into the future of the German fashion industry.

However, it remains unclear how much Victrix will pay to take over the brand, as the financial details have been agreed to remain confidential. Unfortunately, Gerry Weber fans have to prepare for the loss of their favorite brand in brick-and-mortar stores, as the branch in the Schloss Arkaden will soon be closing. However, an exact date has not yet been set.

The situation is still tense and clearly shows how difficult it is for companies in the fashion industry, but hope for a recovery remains. With the right strategies, Victrix could perhaps turn things around and take the Gerry Weber brand further in new directions.