Karen Millen has returned to the Scottish high street after seven years. The womenswear label will officially open in Aberdeen's Union Square Mall today (Monday, August 17).
This opening is part of a phased rollout of concessions that will be stocked in stores owned by The Foschini Group (TFG), including Hobbs London, Phase Eight, Whistles, and White Stuff.
While Aberdeen is currently the only area in Scotland on the list, the luxury fashion chain kicked off its return in Leicester's Fosse Park last week. It has also returned to Liverpool One, with more concessions set to be on the way.
From £100 Loan to Global Brand
Karen Millen was founded in 1981 by British fashion designer Karen Millen and her then-husband Kevin Stanford. The couple created the brand from a loan of just £100, buying thousands of metres of white cloth that was turned into t-shirts and sold to friends.
By 1983, Millen and Stanford opened the first Karen Millen store in Maidstone, Kent. This was followed by more branches across England, with expansion continuing into the 2000s.
The label earned a reputation for high-quality tailoring, such as structured jackets and upmarket evening-wear. Many A-listers, including Kate Middleton, sported the brand's clothing.
At its peak, the business operated around 84 standalone stores and 46 concessions across the UK and Ireland. It also expanded internationally, with 16 company-owned stores and 57 franchise stores in 23 countries.
Financial Troubles and Administration
Karen Millen's troubles began when it was sold to Icelandic investment firm Mosaic Fashions in 2004 for £100 million. The terms of the deal meant that Millen lost the trademark to the name, preventing her from using it for any future fashion ventures.
Under Mosaic Fashions, the label grew internationally, joining other high street retailers including Coast, Oasis, and Warehouse. The Icelandic owners faced severe financial troubles by 2008, formally entering administration the following year. Millen, alongside a few other brands, was then transferred to a newly formed company known as Aurora Fashions.
Founder Karen Millen was also hit with financial troubles and was declared bankrupt by the HMRC in 2017 following a tax dispute. The fashion label then appointed Deloitte after officially collapsing into administration in 2019.
Online-Only Era and Return
The Boohoo Group, now operating as the Debenhams Group, swooped in with a rescue deal worth £18.2m. Also buying sister brand Coast, the purchase led to the closure of all physical stores, turning Karen Millen into an online-only brand.
Following the seven-year absence from the high street, "increased customer demand" has seen it return in select locations. Collections included in the new concessions have been created in collaboration with Millen herself, a first since she sold her eponymous brand in 2004.
Debenhams Group CEO Dan Finley said that the rollout of the concessions marks a "significant moment" for the UK high street, calling the luxury label "a brand with real heritage, recognition and a loyal customer base."
