Authentic Brands, the parent company of Ted Baker, has taken action to address the financing challenges experienced by AARC, the retail management firm responsible for overseeing Ted Baker’s operations in the UK. Authentic Brands made a significant investment of £211 million last year to acquire the renowned fashion retailer’s name and intellectual property. Following this acquisition, it decided to outsource Ted Baker’s global operations to more than 20 different companies.
According to reports from The Times, Authentic Brands has extended a short-term loan offer to AARC. The latter has been collaborating with experts from FTI Consulting for an extended period, seeking to secure more substantial and long-term financial backing for Ted Baker. Ted Baker went through a transition phase earlier this year, which involved making organizational changes. Approximately 200 head office employees in departments like sourcing, finance, production, and footwear were laid off as part of the restructuring efforts connected to the adoption of the new outsourcing model.
Authentic Brands, over a relatively short period, has become a dominant figure in the realm of brand management and licensing, with an extensive portfolio that includes prominent names like Forever 21, Juicy Couture, and Reebok. In June, the group expanded its influence by acquiring the intellectual property of footwear retailer Hunter for approximately £100 million, further solidifying its position in the global fashion and brand management landscape.
