Superdry secures £25m funding from Hilco to power turnaround plan

Superdry has secured up to £25m in funding from restructuring specialist Hilco Capital to help power its turnaround plan.

The fashion retailer said on Monday it had agreed a secondary facility on top its existing £80m asset-backed loan with Bantry Bay Capital.

The agreement with Hilco is for a 12-month term with the option to extend, and is at an interest rate of 10.5% plus the Bank of England base rate on the drawn element.

Superdry said the funding would help accelerate its turnaround plan and £35m cost reduction programme, which was announced back in April.

The agreement follows multiple initiatives from the retailer to strengthen its balance sheet, including an £11.1m equity raise back in May.

The retailer, which has struggled to bounce back from the pandemic, withdrew its “broadly breakeven” full-year profit guidance in April as it continued to experience disappointing retail sales.