Oka, a popular U.K. furnishings and accessories firm, is withdrawing from the U.S. market due to challenging conditions. The company and several of its affiliates have filed for Chapter 7 bankruptcy proceedings in the Northern District of Texas to close its business. However, Oka plans to liquidate assets to repay creditors while reassuring that its business strategy in the U.K. remains unchanged.
Founded in 1999 by Lady Annabel Astor, designer Sue Jones, and horticulturalist Lucinda Waterhouse, Oka is an omnichannel direct-to-consumer business with stores in the U.K. and the U.S. In 2018, the company was sold to European investment house Investindustrial. Lady Annabel Astor recently resigned from the company’s board of directors.
Oka has been operating three stores in the U.S., including collaborations with American fashion designer Adam Lippes on three collections in April.
The furniture and home decor industry has been impacted by a real estate slowdown, particularly in the U.S., where existing home sales hit a 30-year low in December with median prices on the rise.
Despite challenges in the U.S., Oka remains committed to strengthening its presence in the U.K., where it controls Italian furniture, kitchens, and lighting firm Flos B&B Italia Group through partnerships with The Carlyle Group.
Overall, Oka’s decision to file for bankruptcy was made to ensure an orderly wind-down of operations while managing financial obligations responsibly while focusing on growing its core market in the U.K., where it continues to thrive despite global economic challenges like a real estate slowdown
