Kookai to close 20 stores by the end of May, management promises "reclassifications"

Closures, but no layoffs. The ready-to-wear chain Kookaï, in receivership, announced Wednesday that 20 stores would have to close by the end of the month, and promised "redeployment proposals" to the 54 employees concerned. "It was decided Friday evening at a CSE meeting to close 20 stores, throughout France, at the end of the month, to clean up the accounts," said the management, which decided the closures according to "the profitability and performance of the stores". A hundred shops remain open.

In total, 54 employees are concerned "and all will receive proposals for redeployment," said the management, which welcomed the "digital boom" since the announcement of the receivership, with a 200% increase in online turnover. In February, Kookaï justified its placement in receivership by the "economic difficulties faced by the ready-to-wear sector in Europe, which the Covid-19 crisis has only accentuated".

Violent crisis

Created in France in 1983, the brand then developed in Australia in the 2000s and was bought in 2017 by Australian businessman Rob Cromb from the Vivarte group (which then included Caroll, Minelli, La Halle, Naf Naf, Chevignon...), liquidated in 2021. In 2022, Kookai posted a turnover of 45 million euros, up 18% compared to 2021, but down 25% compared to 2019.

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The ready-to-wear sector in France has been shaken for several months by a violent crisis, which resulted in the liquidation of Camaïeu in September 2022 and the placement in receivership of Go Sport (largely taken over by Intersport) and Gap France (partially taken over by JD Sports) in early 2023. On February 20, it was the San Marina shoemaker that was placed in liquidation, causing 650 employees in its fall.