logo-loader

Carpetright’s biggest shareholder buys £41mln of retailer’s debt

Published: 17:00 27 Aug 2019 AEST

Carpetright -
Meditor owns a 29.9% stake in Carpetright

Carpetright PLC’s (LON:CPR) biggest shareholder has bought £41mln worth of debt from the troubled retailer’s lenders.

Natwest and Allied Irish Banks had agreed to make up to £40.7mln available to Carpetright in the form of a revolving credit facility.

READ: Carpetright picks itself up off the floor

But hedge fund Meditor, which owns almost a third of Carpetright’s shares, has now purchased that facility.

A £6.5mln overdraft will effectively be taken on by Meditor as well. 

Meditor said it would now work with bosses to provide a “more stable and longer-term funding platform”.

Carpetright underwent an emergency restructure last year, closing shops and asking for rent cuts in a bid to keep it afloat.

There are signs that the turnaround plans are having the desired effect. A trading update in June showed that losses narrowed in the latest financial year, while sales have returned to growth in the opening few months of the new year.

Australian Strategic Materials signs US$600 million LoI

Rowena Smith, CEO and managing director of Australian Strategic Materials Ltd (ASX:ASM, OTC:ASMMF), joins Jonathan Jackson in the Proactive studio to discuss the company’ s Dubbo Project, in Central West New South Wales. This project aims to extract and process critical minerals and rare earth...

4 hours ago