Arcadia-owned Topshop is reported to be opening in Canada via a franchising deal with local retail group Hudson’s Bay Company (HBC).
It is understood that HBC, which operates department store chains The Bay and Zellers, is planning to open the first three Topshop stores, in Vancouver and Montreal and it hopes to have between 30 and 50 outlets in three to five years.
It is seeking standalone units but it is also planning to open Topshop-branded shop-in-shops in its The Bay chain.
The first outlet is expected to open in The Bay Toronto this autumn and sources have suggested that the stores could be up to 15,000 square feet and will include menswear, under the Topman brand, and accessories. There are six Bay department stores at various locations across Vancouver.
HBC, which is expected to confirm the deal later today (March 9), is reported to have bought in David Kutas, a former Gucci vice-president – general merchandise manager, to head the Topshop franchise. It is thought the deal will see HBC buy product from Topshop and pay a royalty based on purchases.
HBC also operates 279 Zellers stores and also operates homewares brand Home Outfitters and value chain Fields.