Baugur’s acquisition of Criminal in 2005 was the Icelandic investor’s first small business investment. At the time Baugur chairman Jón sgeir Jóhannesson said he planned to invest in up-and-coming entrepreneurs such as Criminal founder Reza Deghani-Wright. But in recent months Deghani-Wright has been less involved with the business due to a serious illness.
Criminal Clothing was foun-ded six years ago and had more than 250 accounts in the UK and Republic of Ireland when it was bought by Baugur. However, wholesale orders are believed to have fallen back this year.
Baugur declined to comment. Criminal was unavailable for com-ment as Drapers went to press.