Canadian clothing retailer Frank And Oak is set to close all 14 of its locations across Quebec, Ontario, and British Columbia, as well as transfer its brand rights. This follows the Superior Court of Quebec sanctioning the brand's acquisition by Montreal-based Lamour Group and Thread Collective, reported The Canadian Press.
Founded in 2012, Frank And Oak has employed around 150 workers. The court's decision, made on April 15, 2025, came after a request from the debtor, granting an extension for the submission of a proposal and prolonging the stay period until May 30, 2025. Concurrently, the court approved several orders, including the divestment of specific assets, permission to carry out inventory liquidation in accordance with established protocols, a concordat with a service provider, and provision for an initial disbursement to be made to the secured creditor.
As Frank And Oak enters the process of liquidation, the definitive closure of its retail locations is imminent. Existing merchandise is set to be sold at final clearance prices, with stores continuing to operate during the liquidation sale. However, store closures are scheduled to commence over the next few weeks as part of this ongoing procedure.
Despite the impending closures, the company announced that its website will remain functional throughout the liquidation process. However, product availability may be restricted, and all transactions conducted during this period will be considered final sale, with no returns or exchanges permitted.
In December 2024, UCG Holdings Canada, doing business as Frank And Oak, submitted a notice of intent pursuant to the Bankruptcy and Insolvency Act to restructure, citing economic challenges brought on by COVID-19 disruptions and supply chain issues. This restructuring effort follows a growing trend among retailers struggling with similar challenges in the wake of the pandemic.
Thread Collective, which has a diverse portfolio that includes budget-friendly mass market stores, upscale department stores, niche boutiques, and sports equipment outlets, is expected to lead the new operating company. This new entity will explore options for the future of the Frank And Oak brand, which may include opportunities to relaunch in select markets or channels.
In a press release, the company stated that while the Frank And Oak brand will continue on, the original corporate entity, UGC Canada Holdings Inc., is expected to file for bankruptcy and wind down its operations. This transition marks a significant shift in the retail landscape, especially for a brand that has been a staple in Canadian fashion since its inception.
As the company prepares for the liquidation of its inventory, existing customers are encouraged to take advantage of the final clearance prices. The liquidation sale is seen as a last effort to recoup some of the financial losses incurred during the pandemic, which have severely impacted many retailers across Canada.
The closure of Frank And Oak's stores is yet another example of the ongoing challenges faced by the retail industry. Many businesses have struggled to adapt to the rapid changes in consumer behavior and supply chain logistics that have arisen from the pandemic. As shopping habits continue to evolve, brands must find innovative ways to engage with customers and remain relevant in a competitive market.
Industry experts suggest that the future of retail will likely hinge on a combination of e-commerce and physical locations. With the rise of online shopping, companies that can successfully integrate their online and offline experiences will be better positioned to thrive in the post-pandemic world.
The news of Frank And Oak's impending closures has been met with disappointment from loyal customers who appreciate the brand's commitment to sustainable fashion and quality products. As the liquidation sale progresses, many hope to see the brand return in a new form under the guidance of its new owners.
As Frank And Oak navigates this challenging transition, it highlights the importance of adaptability in the retail sector. The ability to pivot and respond to changing market conditions will be crucial for any brand hoping to survive in this increasingly competitive environment.
With the retail world in flux, Frank And Oak's story serves as a reminder of the volatility that can accompany entrepreneurial ventures. The brand's journey from a promising startup to a casualty of economic pressures underscores the need for resilience and innovation in the face of adversity.
As the company winds down its operations, it leaves behind a legacy of creativity and a commitment to ethical practices in the fashion industry. The hope remains that the Frank And Oak brand will find a new life under the stewardship of Lamour Group and Thread Collective, allowing it to continue its mission of providing stylish and sustainable clothing to consumers.
This report by The Canadian Press was first published on April 22, 2025.
