What Next for BhS?
Retail Acquisitions, bought BhS in March for £1 from Sir Philip Green, is currently in talks with potential providers of additional debt facilities, including an unidentified hedge fund. The company is keen to secure up to £70m in new financing by the end of September, when large rent bills will be due across the UK.
The company is rumoured to be close to securing a new financial deal and despite the request for external investment the chain insists that it is “business as usual.”
In a statement issued to Sky News, a spokesman for Retail Acquisitions confirmed the talks:
“We have said all along that we would refinance to help accelerate the turnaround plan for the UK business.
“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.
“We are excited about the future and are pleased that major financial companies share our optimism.”
The troubled retailer has 171 operational stores in the UK and 78 abroad and has recently had to remortgage its flagship store on London’s Oxford Street.
Darren Topp, BhS’s chief executive, said recently that trading had been ahead of management’s expectations despite a particularly brutal trading period on the high street.
Future plans including investment and growth into overseas markets are to be announced in due course.