Ann Summers CVA approved by creditors

The retailer said 90% of creditors approved the CVA at the vote today, which will see 25 of its stores move to turnover-based rental agreements.

Following the approval of the CVA, Ann Summers also said that £10m had been made available to the retailer to continue with its turnaround plans. 

The landlords of the 66 stores that had previously agreed turnover-based rent terms will not be affected by the current CVA and Ann Summers said no suppliers will be affected, nor will there be any job losses. 

Chief executive Jaqueline Gold said: “This has been a year like no other for Ann Summers. The pandemic has presented new challenges for our business in 2020, which are likely to continue into the early part of 2021.

“I’d like to place on record my thanks to all those suppliers who have supported the CVA, and to those landlords who agreed revised terms ahead of the CVA.

“Despite the ongoing impacts of Covid-19, with the CVA approved and additional funding in place, we are now able to look to the future with cautious optimism.

“There is a still a very important place on the British high street for Ann Summers, and with our store costs now largely rebased to reflect today’s much changed retail environment, we can not only continue to grow our strong and successful online and party plan channels, but our iconic stores will also be able to thrive once conditions return to normal.

“The additional investment in the business will help us continue our development and growth strategy and accelerate the turnaround, which is already well under way.”

The retailer was advised on its CVA by FRP Advisory.