The Arcadia Group, which owns online fashion giant Topshop, is facing collapse with around 15,000 jobs reported to be at risk.
Sir Philip Green, who owns the empire, is expected to appoint Deloitte administrators as early as next week.
The Boohoo Group is reported to be among those looking to take on Topshop, along with Topman.
Arcadia’s Dorothy Perkins and Burton, a menswear brand, is also in danger of closure, putting the group's entire 15,000-strong workforce at risk.
An industry source described the collapse as “inevitable,” after a bid to secure a £30 million loan was unsuccessful, reports Sky News.
The publication was told an appointment could happen as soon as Monday but the plan is yet to be finalised and could be delayed.
If the insolvency is confirmed, it would involve Arcadia’s online operations and the stores which are permitted to open under lockdown restrictions.
Sir Philip’s empire is likely to be worth several hundred million pounds and includes Topshop, Topman, Cath Kidston, Oasis and Warehouse.
The empire also included BHS, which he sold in 2015 for just £1 to Dominic Chappell, who was recently jailed for tax evasion, set off a chain of events which hit Sir Philip.
A year after the deal, BHS collapsed, and in 2017 Sir Philip struck a deal with pensions watchdogs to pay more than £360m to the BHS scheme and which set the tone for negotiations over Arcadia’s retirement fund two years later.
Earlier this year, the company cut around 500 jobs from Head Office, in a bid to cut costs and prevent bankruptcy as consumer spending habits changed in the Covid pandemic.
The retail industry has faced in implosion during 2020, with several known high-street brands hit by the crisis.
Debenhams called in administrators in April, and is in exclusive talks with JD Sports Fashion about a rescue deal, The Times reported this week.
Its parent company of Edinburgh Woollen Mill, Jaeger and Peacocks has also appointed administrators, putting thousands of jobs at risk.
In a statement, Arcadia has said it is working on “contingency options to secure the future of the group's brands.”
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