US buyout firm comes shopping for a stake in Sir Philip Green's Topshop empire

Sir Philip Green in talks to sell a quarter of the high street fashion chain in deal worth £250m

Sir Philip Green is in late-stage talks about the sale of a 25 per cent stake in his Topman and Topshop empire, a deal that could see him net £250m.

The retail entrepreneur hopes to sign a deal with the US private equity house Leonard Green & Partners as soon as this week. Retail sources say confirmation could come on Thursday.

While Sir Philip himself declined comment, analysts put the value of the empire at around £1bn. The cash injection in return for a sale of the chunk of the company would enable Sir Philip to quickly expand a business in which he has invested huge amounts of time, money and faith.

He has already taken Topshop to New York, Chicago and Las Vegas, and believes there is a huge market for its wares. It has become possibly the best-known fashion house in Britain in the recent years, raising its profile with sell-out collections by the supermodel Kate Moss and the designer Celia Birtwhistle.

Earlier this year, he struck a deal with Nordstrom, the New York-listed department store chain, to sell Topshop and Topman-branded clothing in up to 100 outlets.

LGP has a track record in the fashion trade as part owners of the US chain J Crew, a clothes company of which the US first lady, Michelle Obama, is a high-profile fan. Founded in 1989, LGP is one of the biggest private equity houses in Los Angeles. It has also taken stakes in Rite Aid and Whole Foods Market, among many other investments.

If Sir Philip pulls the deal off – the indications last night were that he would – it would make him one of the few UK business people who can truly claim to have cracked America.

Other retailers have struggled in the US, with even the mighty Tesco now battling to make its Fresh & Easy format work amid pressure from shareholders to cut losses and concentrate on its home market.

Topshop is presently part of Sir Philip's Arcadia empire, which includes Dorothy Perkins and Miss Selfridge.

Although the structure of this deal is not yet clear, it seems likely that the other parts of the business will be ring-fenced from Topshop. Sir Philip is expected to tell staff that he remains firmly committed to the other brands which are not part of this deal.

Sir Philip and his wife, Tina, are one of the wealthiest couples in the world, with a fortune estimated at £4bn.

Sir Philip famously tried and failed to take over Marks & Spencer in 2004, a bid that was resisted by the board of the company.

The spectacular deal to sell a stake in Topshop will be Sir Philip's most significant business transaction since he failed with his second attempt to buy Marks & Spencer eight years ago.

A larger-than-life figure, Sir Philip has been the focus of campaigners complaining about the tax arrangements of the rich.

Two years ago campaigners staged a sit-in at Sir Philip's flagship Topshop store in Oxford Street, and in Brighton a few demonstrators glued themselves to the branch windows, while other high streets in towns and cities across Britain saw similar protests in a day of action against the tax arrangements of rich individuals and big businesses.

Although he and Tina are based in Monaco, he points out that Arcadia has paid more than £2bn in tax since he acquired the business, including £591m in corporation tax.

Unveiling Arcadia's annual results last month, Sir Philip said profit before exceptional items rose from £133.1m to £166.9m in the year to 25 August.

Sir Philip is a prominent supporter of the Conservative Party, coming out in support of David Cameron and George Osborne just before the last General Election.

On behalf of the new Government, he carried out a so-called Efficiency Review into whether government spending and procurement could be better value for money.

Sir Philip is a big football fan with links to Everton and Tottenham Hotspur.

News
Susan Sarandon described David Bowie as
peopleSusan Sarandon reveals more on her David Bowie romance
Sport
Lewis Hamilton walks back to the pit lane with his Mercedes burning in the background
Formula 1
Arts and Entertainment
The new characters were announced yesterday at San Diego Comic Con
comic-con 2014
Sport
Arsenal supporters gather for a recent ‘fan party’ in New Jersey
football
PROMOTED VIDEO
News
i100
News
Bryan had a bracelet given to him by his late father stolen during the raid
people
News
A rub on the tummy sprang Casey back to life
video
Sport
sportDidier Drogba returns to Chelsea on one-year deal
Arts and Entertainment
The Secret Cinema performance of Back to the Future has been cancelled again
film
Life and Style
Balmain's autumn/winter 2014 campaign, shot by Mario Sorrenti and featuring Binx Walton, Cara Delevingne, Jourdan Dunn, Ysaunny Brito, Issa Lish and Kayla Scott
fashionHow Olivier Rousteing is revitalising the house of Balmain
News
i100
Arts and Entertainment
Christian Grey cradles Ana in the Fifty Shades of Grey film
filmFifty Shades of Grey trailer provokes moral outrage in US
News
people
News
BBC broadcaster and presenter Evan Davis, who will be taking over from Jeremy Paxman on Newsnight
peopleForget Paxman - what will Evan Davis be like on Newsnight?
Life and Style
fashionCustomer complained about the visibly protruding ribs
News
ebookA unique anthology of reporting and analysis of a crucial period of history
News
newsComedy club forced to apologise as maggots eating a dead pigeon fall out of air-conditioning
Arts and Entertainment
Jo Brand says she's mellowed a lot
tvJo Brand says shows encourage people to laugh at the vulnerable
Life and Style
People may feel that they're procrastinating by watching TV in the evening
life
News
Tovey says of homeless charity the Pillion Trust : 'If it weren't for them and the park attendant I wouldn't be here today.'
people
Sport
Rhys Williams
commonwealth games
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Senior Risk Manager - Banking - London - £650

£600 - £650 per day: Orgtel: Conduct Risk Liaison Manager - Banking - London -...

The benefits of being in Recruitment at SThree...

£18000 - £23000 per annum + Comission: SThree: SThree, International Recruitme...

Test Analyst - UAT - Credit Risk

£280 - £300 per day + competitive: Orgtel: Test Analyst, Edinburgh, Credit Ris...

Trainee Recruitment Consultants - Banking & Finance

£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...

Day In a Page

Evan Davis: The BBC’s wolf in sheep’s clothing to take over at Newsnight

The BBC’s wolf in sheep’s clothing

What will Evan Davis be like on Newsnight?
Finding the names for America’s shame: What happens to the immigrants crossing the US-Mexico border without documents who never make it past the Arizona desert?

Finding the names for America’s shame

The immigrants crossing the US-Mexico border without documents who never make it past the Arizona desert
Inside a church for Born Again Christians: Speaking to God in a Manchester multiplex

Inside a church for Born Again Christians

As Britain's Anglican church struggles to establish its modern identity, one branch of Christianity is booming
Rihanna, Kim Kardashian and me: How Olivier Rousteing is revitalising the house of Balmain

Olivier Rousteing is revitalising the house of Balmain

Parisian couturier Pierre Balmain made his name dressing the mid-century jet set. Today, Olivier Rousteing – heir to the house Pierre built – is celebrating their 21st-century equivalents. The result? Nothing short of Balmania
Cancer, cardiac arrest, HIV and homelessness - and he's only 39

Incredible survival story of David Tovey

Tovey went from cooking for the Queen to rifling through bins for his supper. His is a startling story of endurance against the odds – and of a social safety net failing at every turn
Backhanders, bribery and abuses of power have soared in China as economy surges

Bribery and abuses of power soar in China

The bribery is fuelled by the surge in China's economy but the rules of corruption are subtle and unspoken, finds Evan Osnos, as he learns the dark arts from a master
Commonwealth Games 2014: Highland terriers stole the show at the opening ceremony

Highland terriers steal the show at opening ceremony

Gillian Orr explores why a dog loved by film stars and presidents is finally having its day
German art world rocked as artists use renowned fat sculpture to distil schnapps

Brewing the fat from artwork angers widow of sculptor

Part of Joseph Beuys' 1982 sculpture 'Fettecke' used to distil schnapps
BBC's The Secret History of Our Streets reveals a fascinating window into Britain's past

BBC takes viewers back down memory lane

The Secret History of Our Streets, which returns with three films looking at Scottish streets, is the inverse of Benefits Street - delivering warmth instead of cynicism
Joe, film review: Nicolas Cage delivers an astonishing performance in low budget drama

Nicolas Cage shines in low-budget drama Joe

Cage plays an ex-con in David Gordon Green's independent drama, which has been adapted from a novel by Larry Brown
How to make your own gourmet ice lollies, granitas, slushy cocktails and frozen yoghurt

Make your own ice lollies and frozen yoghurt

Think outside the cool box for this summer's tempting frozen treats
Ford Fiesta is UK's most popular car of all-time, with sales topping 4.1 million since 1976

Fiesta is UK's most popular car of all-time

Sales have topped 4.1 million since 1976. To celebrate this milestone, four Independent writers recall their Fiestas with pride
10 best reed diffusers

Heaven scent: 10 best reed diffusers

Keep your rooms smelling summery and fresh with one of these subtle but distinctive home fragrances that’ll last you months
Commonwealth Games 2014: Female boxers set to compete for first time

Female boxers set to compete at Commonwealth Games for first time

There’s no favourites and with no headguards anything could happen
Five things we’ve learned so far about Manchester United under Louis van Gaal

Five things we’ve learned so far about United under Van Gaal

It’s impossible to avoid the impression that the Dutch manager is playing to the gallery a little