SSI Group Inc., the country’s largest specialty retailer, will cease operations of British fashion and food brand Marks & Spencer in the country on May 2, marking the end of a nearly 40-year partnership as the company seeks to realign its portfolio with shifting consumer demand.

The publicly-listed retailer, led by SSI President Anthony Huang, disclosed on Wednesday, Feb. 25, that the wind-down through its wholly owned subsidiary Stores Specialists Inc.

The move follows months of speculation fueled by store closures in key locations such as TriNoma and Ayala Center Cebu, as well as aggressive discounting across its remaining 13 branches.

Management described the exit as a strategic necessity in a retail landscape increasingly dominated by fast fashion and e-commerce.

SSI Group, which distributes luxury labels including Hermes, Cartier, and Zara, reported that net income for the first nine months of 2025 fell nearly 50 percent to ₱733 million as higher operating costs and a slowdown in discretionary spending weighed on margins.

The closure signals a pivot for SSI as it navigates a challenging environment for mid-to-upscale international brands.

While Marks & Spencer has been a fixture of the local retail scene since its first store opened in the 1980s, the company noted that it must now prioritize brands that better reflect the future of the industry.

“Retail is constantly transforming, and we remain committed to strengthening our portfolio with experiences that resonate with today’s consumers,” the company said in a statement.

SSI has recently been expanding its footprint in footwear and luggage, categories that saw a 30 percent revenue jump in 2025, contrasting with the more tepid performance of legacy casual wear.

Transition and Impact

SSI said it is working closely with employees and partners to ensure a responsible transition. The company has not yet provided specific details regarding severance packages or potential reassignments within its network of 96 other brands.