Superdry is close to striking a refinancing deal with the UK arm of activist investor Elliott Advisors.
The fashion retailer, which is being advised by PwC, is on the verge of finalising an agreement with Elliott-backed Bantry Bay, according to The Sunday Times.
Superdry has been seeking a new credit facility to shore up its balance sheet before its existing £70m facility expires at the end of January.
The move will ease fears among some investors during a period of turbulent trading and macroeconomic uncertainty as the UK heads for a recession.
Superdry issued a going concern warning last month amid uncertainty surrounding the refinancing of its existing asset-back lending facility, which is currently provided by HSBC and BNP Paribas.
As of October, the retailer had not drawn down £45.3m of the facility.
Despite those fears, Superdry’s turnaround has been progressing since the return of founder Julian Dunkerton as chief executive.
The retailer swung back into the black during the year to April 30, posting a statutory pre-tax profit of £17.9m compared with a £36.7m loss the previous year. Sales rose 9.6% to £609.6m.
Superdry also hailed an “encouraging start” to its current financial year following the launch of its autumn/winter ranges.
- Get the latest fashion news and analysis straight to your inbox – sign up for our weekly newsletter
Related Companies
- Previous
- Next
No comments yet