The fashion retailer classified in London, Boohoo Group, is about to obtain an increase in refinancing of 175 million pounds sterling in an agreement which will relive the memories of one of the most notable investment in commissioning in Great Britain.
Sky News learned that Boohoo, who was involved in a fight to rename himself as Debenhams, is in advanced talks to obtain a significant TPG debt, the investment giant based in the United States.
The discussions would be close to an agreement, although precise details, including the ultimate size of the refinancing package and the extent of the TPG contribution, were not clear on Wednesday evening.
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If he is confirmed, he will restore TPG as a Debenhams swallowed more than 20 years after the buyout company was part of a consortium that has radiated him from the London Stock Exchange.
In 2003, TPG, CVC Capital Partners and Merrill Lynch Private Equity paid 1.7 billion pounds sterling to take the private store chain in an agreement that has salted the retailer with more than 1 billion pounds sterling of debt.
They then withdrew him three years later in a flotation which proved to be lucrative for investment capital companies, but became a child of the poster for financial engineering adopted by the industry.
However, Debenhams’ financial performance deteriorated in the following decade, in the midst of consumer behavior changing rapidly.
In 2019, the company fell into administration for the first time, before collapsing shortly after the start of the pandemic cochem the following year.
Boohoo, who saw his own assessment getting on the demand of consumers and investors has skyrocketed for online fashion retailers, took the Debenhams brand in 2020.
This agreement made the magnate of the Frasers Mike Ashley group furious, who had fought a battle of the commission with the council of Debenhams while he was trying to buy the business.
Earlier this year, Ashley used the participation of Frasers in Boohoo to vote for his plans to change his legal name in Debenhams – although the company now uses the name as a business brand.
The group’s refinancing needs saw him named Interpath Advisory earlier this year.
In May, the Telegraph reported that Boohoo spoke to expensive high -performance lenders about the supply of a 50 million pound sterling debt to the company.
TPG and Interpath refused to comment, while Boohoo did not respond to a Sky News investigation.