Trading continues for ASOS after the fire

Following a fire in its main warehouse in Barnsley, Asos was permitted to start taking orders after trading was briefly suspended.

12:59 23 June 2014

Asos, which was forced to suspend trading due to a fire at its main warehouse in Barnsley, has started taking orders again at 2am on Monday morning. The said warehouse is the company’s major global distribution centre where 70per cent of the stocks are kept. The company has assured the public that the fire, which is considered arson by the police, did not damage the technology, automation or structure of the building. 

 

The company closed its website on Friday after issuing a statement saying: "We are fully insured for loss of stock and business interruption.” Following the announcement, Asos’ shares dropped by almost 1per cent in early trading. 

 

Meanwhile, this is not the first time that the company has experienced this problem. Analysts said that the firm dealt with the same issue in 2005 when its Hemel Hempstead warehouse was damaged by explosions at the Buncefield fuel depot. 

 

"Roll forward, Asos are now bigger, uglier, more global and one would imagine less agile perhaps in their response," said analysts at Jefferies.