Dive Brief:

• In a hit to its U.S. operations, U.K.-based athleticwear company Gymshark has laid off 65 employees from its Denver office, according to a company spokesperson.
• The layoffs are part of a U.S. restructuring, according to the spokesperson. “We are taking this move purely for commercial reasons to centralize our operations and continue to safeguard the future of the business."
• Gymshark’s website says it has around 900 employees globally, with offices in five regions, including Denver. The company declined to comment on what types of roles and departments were most impacted.

Dive Insight:

Athletics brand Gymshark is the latest in a string of direct-to-consumer companies that have announced layoffs over the past month.

Earlier this month, apparel company Everlane cut about 17% of corporate staff, Hydro Flask owner Helen of Troy announced it would lay off about 10% of its global workforce and Morphe owner Forma Brands closed all of its U.S. stores before filing for bankruptcy. Last week, Wayfair announced it laid off around 2,000 employees.

In October, Gymshark opened its first permanent brick-and-mortar store on London’s Regent Street, which the company’s CEO Ben Francis said would have an experiential focus. 

Gymshark’s plans to open a corporate office in Denver were first revealed in September 2019, according to reporting by the Denver Business Journal. Francis later posted a tour of the facility to YouTube in February 2021, saying that COVID-19 travel restrictions had delayed some initial plans with the space.