Los Angeles (AFP)

The US chain of cheap clothing Forever 21, one of the last retail chains to suffer from the explosion of online commerce, announced that it was going bankrupt on Sunday.

The demand for protection under Chapter 11 of the US Bankruptcy Act is "a deliberate and decisive step to get us back on track in the future," the channel said in a statement Monday.

Chapter 11 will allow Forever 21 to continue operating without being accountable to their creditors. Commonly known as bankruptcy, it leaves Forever 21 control of its assets during the restructuring phase.

According to a spokeswoman quoted by the Wall Street Journal, the group will close up to 350 stores worldwide, including 178 in the United States, its main market.

Founded in Los Angeles in 1984 by South Korean couple Do Won and Jin Sook Chang, the Forever 21 brand currently has more than 800 stores worldwide. She surfed the wave of "fast fashion" (rapid renewal of collections), becoming ubiquitous in shopping centers in the US, and offering young customers imitations of major brands, at very low prices.

Compiled by brands such as H & M and Zara, it has sought to expand its business to men's clothing and shoes after the crisis of 2008. But according to analysts, it failed to react quickly to the rise in online sales, as well as a clientele concerned about the environmental impact of its products and working conditions in its factories.

Already in early September, the channel announced the closure in late October of its 14 stores in Japan.

© 2019 AFP