Sir Philip Green’s Arcadia has refinanced the £310m loan on its flagship Topshop store on London’s Oxford Street.
The fashion group has struck a deal over a four-year loan from US investment giant Apollo ahead of a deadline that was looming at the end of the year.
The Apollo debt will be secured against the property that houses the Topshop flagship and Niketown.
Last month, it emerged that Arcadia was scurrying to pay back the loan before Christmas and was in talks with specialist lenders to refinance the £310m mortgage.
The mortgage was taken out in 2014 had been due to expire in June 2019, but the deadline was extended as part of Arcadia’s CVA.
An Arcadia spokeswoman confirmed the deal.
It comes as a welcome boost to the embattled group, which also owns Burton, Dorothy Perkins, Miss Selfridge, Wallis and Evans, ahead of the crucial Christmas trading period.
Turbulent trading conditions on the high street, rising property costs and fierce competition from the likes of Primark, H&M and online rivals including Asos and Boohoo have taken their toll on Green’s stable of fashion brands.
In September, Arcadia’s parent company Taveta Investments booked a full-year loss of £170m and cautioned that its CVA, which allowed to the business to slash rents and shutter dozens of stores, would not guarantee its survival.
Green is reportedly plotting to divide his fashion empire in order to separate the jewel in its crown, Topshop, from the other high street businesses.
In October, the group opened a new warehouse dedicated to Topshop and Topman products – a move that was widely seen a sign that Green was ramping up efforts to split up his stable.
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