Sir Philip Green runs Arcadia Group which owns Miss Selfridge and BHS among other high street brands (Reuters)
Retail magnate Sir Philip Green has sold a 25 percent stake in his high street fashion chains Topshop and Topman to a US private equity firm for £500m, valuing them at £2bn.
Billionaire Green, who runs Arcadia Group which for tax reasons is owned by his Monaco-based wife, made the sale to Los Angeles-based Leonard Green & Partners (LGP) to help fund his expansion in the US and China markets.
The sold stake will be ring-fenced from Arcadia Group, which owns well-known British brands including Miss Selfridge and BHS.
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It is the latest LGP push to increase its stake in the retail market. In 2010 it teamed up with fellow private equity firm TPG Capital to buy US clothing retailer J Crew for $3bn.
Total sales for Topshop in its last set of full-year results were flat at £2.68bn, though underlying profit was up 25 percent to £166.9m.
Arcadia Group operates in 112 countries across the world.
Green has been the target of anti-tax avoidance campaigners who say he has escaped hundreds of millions of pounds in taxation over the past few years because of his family's offshore arrangements.
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