New Look, the extreme highway vogue chain, is close to finalising a £100m debt refinancing that may current it with financial respiratory space amid a worsening shopping for and promoting setting for garments retailers.
Sky Information has learnt that New Look is in superior talks with Blazehill Capital and Wells Fargo about altering a time interval mortgage which matures in June 2024.
Talks about refinancing the debt, the holders of which embrace Alteri, the specialist retail investor, Davidson Kempner and an arm of the Wall Road monetary establishment Goldman Sachs, have been ongoing for months.
A worthwhile conclusion to the negotiations would come as a assist to New Look’s householders after two painful rounds of financial restructuring.
New Look, which trades from higher than 400 outlets inside the UK and Eire, has been working with advisers at Deloitte on exploring selections for the £100m mortgage.
It marks the latest chapter inside the chain’s journey within the course of a sustainable long-term capital building following substantial retailer closures.
New Look is one in all Britain’s largest omnichannel garments chains, utilizing higher than 10,000 staff and boasting 10m vigorous prospects.
It’s the second-biggest participant inside the UK womenswear class.
Within the financial 12 months ended 25 March 2023, New Look reported full earnings of £895m and earnings sooner than curiosity, tax, depreciation and amortisation of £42.2m – a year-on-year improve of higher than 67%.
A New Look spokeswoman acknowledged: “With New Look’s c.£100m time period mortgage maturing in June 2024, the group is presently in optimistic discussions with advisers and potential lenders relating to a refinancing.
“The enterprise continues to ship on its strategic targets, underpinned by its omnichannel method, vogue credentials and good price product.”
Supply: data.sky.com”
