French Connection has decided to close its start-up clothing label Tegan Fashion after just 18 months trading.
The label is run from its own separate website which will also close. It operated as a separate business to French Connection but is understood to have become a drain on the main group's management time and resources, the Mail on Sunday reported.
Tegan Fashion was aimed at an older shopper than French Connection. Prices include dresses from £120 to £220.
The closure is part of an ongoing overhaul of the firm's strategy to stabilise profitability. French Connection have reported full-year losses in three of the past five years.
A spokesman said: 'It was a start-up business that we have taken the decision to close and will not have a material impact on the trading of the group.'
It has sought to close underperforming stores and close or sell weak business units such as its Japanese business and its Nicole Farhi brand, which has since gone into administration.
Nicole Farhi was bought by the Maxine Hargreaves a month ago, the daughter of the Matalan billionaire John.
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