Business

Globus: Switzerland’s High-End Retail Gem in Debt

By Eva Morletto28 octobre 2025

The Globus department store chain is facing an unprecedented financial storm. Burdened by a CHF 125 million loan from Migros and weakened by the crisis affecting its Austrian shareholder Signa, the brand is struggling to regain its footing. With a recovery not expected before 2026, the group is attempting to reinvent its model in a rapidly changing European department store sector.

Globus still has to repay a loan of CHF 125 million taken out with Migros, which is due to mature in 2026 (DR)

After being sold in 2020 by Migros—Switzerland's largest retail group—to Central Group (a retail conglomerate founded in 1947 by the Thai Charithivat family) and Austria-based Signa, the Globus brand now finds itself at the center of a financial arrangement weakened by debt, according to NZZ am Sonntag. The company still has to repay a CHF 125 million loan taken out with Migros, and told the German-language weekly newspaper that his deadline is set for 2026—a legacy of the Covid period that is putting further pressure on its margins.

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The Thai group Central, now the main shareholder, seems unwilling to refinance the company. For its part, Signa, the other co-owner, is sinking into a major crisis: its heavily indebted distribution subsidiary has been granted a reprieve to avoid bankruptcy. This double constraint puts Globus in a delicate position, between a weakened shareholder and a repayment deadline that is looming dangerously close.

On the operational front, the turnaround is slow to materialize. According to management, a return to profitability is not expected before 2026, while renovation costs, digital transformation, and declining footfall in city centers continue to weigh heavily. Globus is attempting to reposition itself in the “experiential” luxury segment, relying on its flagship stores in Zurich, Basel, and Lausanne. But this strategy requires heavy investment in a context where financing is difficult to obtain.

The very model of the European department store is being called into question. In Germany, Galeria Karstadt Kaufhof has already succumbed to excessive debt and high rents. In the United Kingdom, Selfridges, also acquired by Central Group and the former Signa empire, is struggling with colossal debt. Everywhere, the same symptoms are repeating themselves: prestigious but expensive locations, consumption shifting to digital, and financial structures built on the leverage of real estate that is now less buoyant.

For Globus, the countdown has begun. Without a clear refinancing or debt reduction plan, the brand risks losing its independence. The challenge is daunting: reinventing a historic model without abandoning its DNA, while reassuring creditors and regaining customer confidence.

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