After multiple restructuring efforts, financial struggles, and major closures, one of the oldest luxury fashion brands still operating faces another significant test of its future, with its remaining physical retail presence in a major market now at risk.
In 2026, rival brand Louis Vuitton confirmed it would close its only store in Guizhou, a province in southwest China, in August, while Harvey Nichols shut down its only store in Ireland in September.
Now, part of a historic luxury brand’s retail business could disappear.
Founded in 1851 in Schönenwerd, Switzerland, Bally is a fashion house known for producing high-end shoes, handbags, leather accessories, and ready-to-wear clothing.
Bally has been owned by U.S. investment firm Regent since August 2024, when Regent acquired the Swiss luxury brand from JAB Holding.
Bally could close its last store in Germany
Bally could soon close and liquidate its one remaining German retail store at Outletcity Metzingen, where the brand has operated since 1997.
The closure would mark the end of Bally’s last remaining dedicated retail store in Germany, more than a century after the brand opened its first location in the country.
Employees at the Metzingen store have already been informed of the possible closure, and preparations are reportedly underway for a potential clearance sale of the existing stock, WirtschaftsWoche reported.
The brand’s future in Germany remains unclear. Administrators have described the situation as difficult and pointed to a sluggish flow of information from Bally’s parent company in Switzerland, Fashion Network reported.
The Metzingen store had not officially closed as of Sept. 23, 2026, meaning the potential shutdown remains a developing situation.
Why Bally could end its physical store presence in Germany
The potential closure comes as Bally’s German business faces insolvency proceedings, while its Swiss parent company is undergoing a separate restructuring.
B.D. Retail Deutschland GmbH entered provisional insolvency administration on Sept. 16, 2026.
Provisional insolvency administration is an initial phase of German insolvency proceedings that allows a court-appointed administrator to assess the company’s financial situation and help determine how the case should proceed.
On June 15, the Zug Cantonal Court granted Bally Schuhfabriken GmbH a provisional debt-restructuring moratorium through Oct. 15, 2026.
During the restructuring period, the Swiss parent company also ended shoe production at its Caslano, Switzerland, facility after 175 years.
The developments add to a series of financial and operational changes for Bally as its parent company works through a restructuring.
Fashion retail rivals close stores and exit markets
Bally is not alone in navigating a difficult retail environment. Several luxury fashion companies have closed stores or announced additional shutdowns as they adjust their businesses to changing consumer demand and shifting market conditions.
For some of these companies, store closures are part of a broader effort to reallocate investment toward stronger brands, markets, and locations.
Here’s some of my previous coverage of recent store closures:
- Capri Holdings: Closed 41 locations across its brands in the year ending June 27, 2026.
- Prada Group: Closed 10 Versace stores since the end of 2025 and plans to shutter more locations while relocating select boutiques to stronger markets in 2026 and 2027.
- Kering: Closed 133 locations across its brands in 2025, with an additional 100 store shutdowns scheduled worldwide in 2026.
- Ferragamo: Closing roughly 70 stores between 2025 and 2026.
- Burberry: Closed 21 locations during fiscal 2026.
- Tapestry: Closed 64 directly operated stores during fiscal 2026.
- Zegna Group: Closed 14 stores during the first half of fiscal 2026.
Related: Popular mall retailer continues closing stores in 2026