German catalogue firm Quelle is to close, resulting in the loss of up to 7,000 jobs, according to reports.
Efforts to sell the business, which is part of German retail giant Arcandor and is in administration, have failed resulting in the closure of the mail order retailer after 82-years of trading.
According to industry commentators Quelle’s lack of internet shopping strategy led to its demise. German mail order rival Otto, which operates the Freemans Grattan Holdings, had been tipped as a potential buyer of the business.
Arcandor, which also owns the Karstadt department store chain, filed for bankruptcy protection in June. The fate of Karstadt is unclear. Hopes of a merger with German retail giant Metro were quashed last week when Metro said it did not need to tie up with Karstadt, according to reports.