GAP TO SELL STORES IN FRANCE, ITALY TO CUT COSTS IN EUROPE

Gap, Inc. is in talks with its partners to sell its stores in Italy and France, the US apparel chain said on Wednesday (Thursday, July 1, 2021, in Manila), as it looks to limit its presence to online in Europe and save costs, Reuters reported.

The retailer is also planning to shutter all Gap Specialty and Gap Outlet stores in the United Kingdom and the Republic of Ireland by the end of September. Shares of the company rose about 3% in afternoon trading.

The owner of the Old Navy brand said it was in discussions with Hermione People and Brands, the retail branch of FIB Group, to take over its stores in France, while an unnamed partner is in talks to buy its Italian stores.

The move comes as Gap competes with apparel brands like Zara and H&M for market share. The coronavirus pandemic has compounded troubles by stifling sales at brick-and-mortar stores across the globe.

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