Matalan lenders closing in on takeover
Matalan’s lenders could strike a deal within the next fortnight to take control of the retailer, according to Sky News.
The lenders, which include Matalan investors Man GLG and Invesco, have lent hundreds of millions of pounds to the homeware retailer.
Matalan now faces a bill of £350m which requires refinancing.
Liverpool-based Matalan employs 13,000 people and trades from 230 UK stores.
Last month, it was reported that Matalan’s founder John Hargreaves was leading a bid along with American equity firm Elliott Advisors to take control of the company.
The proposal submitted by the syndicate would see nearly £100m injected into Matalan in a bid to secure its short-term future.
Sky News claims that sources close to the process said the lenders were in talks with the retailer’s interim chief executive Nigel Oddy about the possibility of making the role permanent if they succeed in taking control.
In December, Matalan issued a statement on the sales process: “The company is currently assessing all the bids and constructive discussions are continuing with interested parties and their advisers”, it said.
It added that it aimed to complete the sales process by the end of January.