Japan's Renown Inc has announced it will offload its entire stake in Aquascutum Ltd by February 2009 as part of a major restructuring effort.

"Aquascutum hasn't reached its anticipated interest target in sum calculation during this last season, so in order to lower the risks of a bigger loss in the future the company has decided to sell out its stocks to maintain its basic operations," a Renown spokesman told just-style.

The more than 150-year-old UK label Aquascutum posted its fourth consecutive net loss at the end of 2007, and continues to struggle to find its niche in the Japanese marketplace.

Renown said it will retain the right to produce goods under the Aquascutum brand.

Renown faces further ongoing restructuring in Japan, including cutting back its total workforce by about 30% and eliminating 16 of its 62 brands by February.

By Michael Fitzpatrick.