200
Fashion Jobs
SAMSOE
Account Manager no (Menswear)
Permanent · OSLO
BEST SELLER
Bestseller Søker Business Controller Til Vero Moda
Permanent · OSLO
ABBOTT
Territory Manager
Permanent ·
RITUALS
Butikkselger (Sommerhjelp) -Tønsberg - Farmandstredet
Permanent · TØNSBERG
RITUALS
Butikkselger (Sommerhjelp) - Kristiansand - Sandens
Permanent · KRISTIANSAND
RITUALS
Butikkselger (Sommerhjelp) - Horten - Sjøsiden Shopping Center
Permanent · HORTEN
RITUALS
Butikkselger (Sommerhjelp) - Down Town Kjøpesenter
Permanent · PORSGRUNN
RITUALS
Butikkselger (Sommerhjelp) - Kristiansand - Sørlandssenteret
Permanent · KRISTIANSAND
RITUALS
Butikkselger (Sommerhjelp) - Bergen - Oasen Senter
Permanent · BERGEN
RITUALS
Butikkselger (Sommerhjelp) - Hafrsfjord - Amfi Madla
Permanent · HAFRSFJORD
RITUALS
Butikkselger (Sommerhjelp) - Straume - Sartor Storsenter
Permanent · STRAUME
RITUALS
Butikkselger (Sommerhjelp) - Stavanger - Søregata
Permanent · STAVANGER
RITUALS
Butikkselger (Sommerhjelp) - Kilden Kjøpesenter
Permanent · STAVANGER
RITUALS
Butikkselger (Sommerhjelp) - Bergen Galleriet
Permanent · BERGEN
RITUALS
Butikkselger (Sommerhjelp) - Bergen - Horisont
Permanent · BERGEN
RITUALS
Butikkselger (Sommerhjelp) - Sandnes - Kvadrat
Permanent · SANDNES
RITUALS
Butikkselger (Sommerhjelp) - Kongsberg - Stortorvet
Permanent · KONGSBERG
RITUALS
Butikkselger (Sommerhjelp) - Sandefjord - Hvaltrovet
Permanent · SANDEFJORD
RITUALS
Butikkselger (Sommerhjelp) - Arendal - Alti Senter
Permanent · ARENDAL
RITUALS
Butikkselger (Sommerhjelp) - Drammen - Magasinet
Permanent · DRAMMEN
RITUALS
Butikkselger (Sommerhjelp) - Drammen - Gulskogen Senter
Permanent · DRAMMEN
RITUALS
Butikkselger (Sommerhjelp) - Bryne - m44 Kjøpesenter
Permanent · BRYNE
Published
Mar 22, 2019
Reading time
2 minutes
Download
Download the article
Print
Text size

Debenhams proposes restructuring, Sports Direct offers to buy Magasin du Nord

Published
Mar 22, 2019

Debenhams shares plunged on Friday morning after it revealed plans to launch a refinancing plan that could see shareholders’ equity wiped out.


Reuters


The struggling department store group is seeking a £200 million funding lifeline from existing lenders to fend off the aggressive takeover advances of Sports Direct, which has been trying to attempt a boardroom coup at Debenhams for the past few weeks.

On Friday Sports direct offered to buy Debenhams’ Magasin du Nord Danish business for £100 million in cash to assist with its short term liquidity requirements, and proposed to appoint Mike Ashley as director and CEO of Debenhams.

But the British retailer has repeatedly rejected Ashley’s attempts, and is actively seeking alternatives to stay afloat. On Friday it said that the £200 million funding would allow it to pursue a number of restructuring options to secure the future of the business, but warned that some of these options, if materialised, “would result in no equity value for the company's current shareholders”.

Shares in the company plunged by more than 50% after the announcement before recovering slightly on Friday morning.

The restructuring could see Debenhams sell its shares to lenders in exchange for cutting its debt or a pre-pack administration process, reported Sky News. It has already earmarked almost 20 stores for closure early next year, with dozens more in the firing line.

Lenders have until Thursday 28 March next week to approve the cash call.

Debenhams rebuffed Sports Direct’s offer to buy Magasin du Nord hours after it was announced, saying “it does not address the company's funding and restructuring requirement, while balancing the interests of all stakeholders”.

The company said the Danish business, which runs six department stores across Denmark, is cash flow generative and a meaningful contributor to group profits. “As such, Magasin is an important part of any lending proposition and therefore any broader solution that protects value for the group,” it insisted in a statement.

It is the latest development in Debenhams’ ongoing battle to survive the challenging conditions on the UK high street and avoid becoming part of Mike Ashley’s Sports Direct. The British businessman already has a near 30% share in Debenhams, and last week offered a £150 million unsecured loan as part of his efforts to install himself as chief executive officer of the department store group. The deal would take his shareholding in Debenhams to 35%.

Debenhams has said it would consider the proposal, but lenders have ruled out accepting it, according to media reports.

FTI Consulting is understood to be working with the company's lenders.

Copyright © 2024 FashionNetwork.com All rights reserved.