Outdoor and sports retailer Torpedo7 will become an online-only store by the end of February.

It closed two Torpedo7 stores earlier this year and converted 10 others into its The Outlet retail concept, which specialises in selling discounted branded clothing lines.

Its owner, Tahua Group, said it would convert the remaining six stores in early 2026 into The Outlet stores, bringing that number to 17.

After that, Tahua Group said Torpedo7 would become a digital-only brand, focused on premium outdoor products.

Tahua also owns retailers Number One Shoes and Hannahs as well as The Outlet, plus the rights for Starbucks, Burger King, and Popeyes in New Zealand.

It bought Torpedo7 from The Warehouse Group in February 2024 for $1.

Retail division chief exectuive Lesley Francis-Ziogas said Torpedo7 remained an important part of the Tahua portfolio.

"By going digital-only, Torpedo7 can streamline, scale and grow profitably."

Tahua Group managing director Roger Harper said Tahua's strategy was focusing investment where it delivers the best customer value and commercial returns.

"This is a decisive move - one that protects the business, grows our reach, and sets us up for long-term success."

Torpedo7 was founded by Luke Howard-Willis in Hamilton in 2004 as an online retailer selling outdoor equipment.

The Warehouse Group paid $33 million for a 51 percent stake in 2014, before eventually acquiring the entire company.

It moved Torpedo7 into physical stores from 2014, but mounting losses saw it sell Torpedo7 to Tahua last year.

It booked a $60 million loss in its accounts for the year to July 2024.