German fashion retailer C&A is to close 21 underperforming stores in Spain by the end of next month as part of efforts to restructure the business for future growth.

The company, which operates 130 stores in the country, said the closures include 14 regular stores and 7 Kids stores, with the loss of 150 jobs.

C&A pointed out that the fashion retail market in Spain has declined by almost 30% since 2007, and that the closures will help it adjust its store portfolio to a size more suited to the current market. 

As part of the restructure, C&A will also open a new retail park store in Ferrol in October, creating 56 jobs.

The retailer also plans to roll out its store investment programme into other stores, including store refurbishments to improve their image and layout.

C&A said it remains committed to, and confident in, the future of the Spanish fashion market.

"This process has implied a difficult but necessary decision in order to strengthen the C&A store portfolio," said Marc Estourgie, managing director of C&A Spain and Portugal.

"This allows us to adapt to the current Spanish consumption habits and enforce our position for the future in a market in which we have been operating for 30 years now."