Monday, June 17, 2024

Top retailer closes shop in York

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Fashion retailer Superdry has been in Davygate since Borders bookshop closed more than a decade ago, but now they have closed their doors and work is underway to clear fixtures and fittings.

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As The Press reported earlier this year, Superdry has said its founder will not lead a takeover for the troubled fashion brand as it increased and extended a loan.

The British retail chain revealed talks between co-founder and chief executive Julian Dunkerton and US investor suitors over a possible takeover deal.

But Mr Dunkerton – who is also Superdry’s largest shareholder – said since said he has dropped plans for a potential deal.

The boss and the group’s transaction committee said they “concluded that a takeover offer from Julian Dunkerton for the company is unlikely to deliver an outcome for shareholders” amid the work taking place to turnaround the business.

It stressed that he was still talking with the business about other methods of financially supporting the group, including potentially underwriting an equity raise.

Superdry said such a move, which would be “at a very material discount” to its current share price, would provide more financial headroom for its turnaround plan.

In January, the retail business said it was looking at various “cost-saving options” after reports it was considering a major restructuring which could include store closures and job cuts.

The business, which employs around 3,350 globally, runs 216 shops alongside franchised stores.

Earlier this year, Superdry also confirmed that it had agreed an extension and increase to a lending facility from Hilco Capital.

The loan from Hilco would be extended by six months to take it until February 2025 and would allow Superdry to immediately access another £10 million.

A further £10 million would also be available between September and November subject to approval and the implantation of cost-cutting measures.

Elsewhere in York Superdry retains its shop at the Designer Outlet.

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