Scotch & Soda exits Europe market as financial woes persist
The clothing brand Scotch & Soda went bankrupt for the second time in a year. Just a year after restarting operations, the company exited the market and closed its stores in Europe. However, its clothing is still expected to be available for sale.
Scotch & Soda, originating from Amsterdam, has faced financial problems twice within 12 months. The European segment of the company was acquired by the American Bluestar Alliance in 2023. Despite this, it continued to encounter financial difficulties. Just a year after the last bankruptcy, the company once again suspended operations in select European countries.
This situation forced the closure of 92 stores across Europe. The statement reads that the company is withdrawing from markets such as Germany, Belgium, Luxembourg, and Austria, which has resulted in over 700 people losing their jobs. However, the most significant impact is the collapse of the network of stores in the Netherlands, where 28 Scotch & Soda locations were located, employing approximately 320 workers.
Scotch & Soda was founded in 1985. The new owner announced that its clothing will not completely disappear from the market. Sales are expected to continue through another entity in collaboration with the brand's owner, Bluestar Alliance.
