New BHS owners Retail Acquisitions seek £70m refinancing to revive troubled chain bought from Sir Philip Green for just £1
The new owners of BHS are in talks to secure a refinancing package to help turn around the loss-making chain bought from Sir Philip Green earlier this year.
Retail Acquisitions, a consortium comprising an eclectic mix of investors including former racing driver Dominic Chappell, is understood to be seeking a £70m loan by the end of September when the next rental bills are due.
Sources close to the company said the funding was not a lifeline but a way to support the turnaround.
“We have said all along that we would refinance to help accelerate the turnaround plan for the UK business,” Retail Acquisitions said in a statement yesterday.
“Every penny raised will support the regeneration of our portfolio of stores, returning this iconic British brand to its rightful place on the high street.”
The refinancing talks, first reported by Sky News, come after Retail Acquisitions bought the struggling clothing and homeware retailer in March for £1, bringing 15 years of ownership under Sir Philip Green’s Arcadia empire to an end.