- New Look Nearing £100 Million Debt Refinancing
- Advanced Negotiations with Blazehill Capital and Wells Fargo
- New Look’s Financial Situation and Strategic Goals
The retailer is in talks with Blazehill Capital and Wells Fargo to replace a June loan.
New Look is close to concluding a £100 million debt refinancing that will give it financial breathing room amid a deteriorating trading environment for clothing retailers.
New Look is in advanced talks with Blazehill Capital and Wells Fargo to replace a June 2024 term loan.
Debt holders include Alteri, the specialist retail investor Davidson Kempner, and a division of the Wall Street bank Goldman Sachs. Refinancing discussions have been ongoing for months.
After two painful rounds of financial restructuring, a successful conclusion to the negotiations would be a relief for the proprietors of New Look.
New Look, which has over 400 UK and Irish outlets, is discussing a £100 million credit line with Deloitte.
Following the closure of several stores, it is the chain’s next step towards a sustainable long-term capital structure.
New Look is one of Britain’s leading omnichannel clothing retailers, with over 10,000 employees and 10 million active customers.
It is the second-largest retailer of womenswear in the United Kingdom.
New Look reported total revenue of £895m and earnings before interest, tax, depreciation, and amortization of £42.2m for the fiscal year ending 25 March 2023, an increase of over 67% year-over-year.
A spokesperson for New Look stated, “With New Look’s approximately £100 million term loan maturing in June 2024, the company is currently in positive discussions with advisers and potential lenders regarding a refinancing.”
The company continues to achieve its strategic goals, which are supported by its omnichannel strategy, fashion credentials, and high-quality products.
