Ghost’s investors are Arev – the UK vehicle of Icelandic private equity group Kcaj – and Baugur shareholder Kevin Stanford. Both have equal holdings in the firm.
In the wake of the banking turmoil in Iceland, it has become increasingly difficult for investors with connections to Icelandic banks to obtain funding.
A source close to the situation said: “There are ongoing funding needs for the business and the two investors are working to try and find a solution”.
However, he added that the departure of the investors “could be one of the options”.
In an internal memo issued to staff Ghost finance director Nick Hamer said: "The directors of the business have been working on proposals to secure the future of Ghost with alternative investors. This situation arose from the failure of the major investor to provide continued funding for the business. The discussions with interested parties are still ongoing and the directors are working hard to reach a resolution of the current position."
It follows the news that Arev-owned menswear business Hardy Amies is teetering on the brink after seeking funding to secure its future.
Arev also has investments in retailers including Jones the Bootmaker, maternity retailer Blooming Marvellous and sports retailer Mountain Warehouse.
Kevin Stanford has stakes in Baugur-backed businesses including House of Fraser and All Saints.
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