Superdry Announces Restructuring Plan, Equity Raise, and Delisting Initiatives

Superdry plc disclosed a new restructuring strategy aimed at revamping its operations for enhanced financial sustainability and long-term success. Central to this plan is the restructuring of their leasehold portfolio through C-Retail Limited, a subsidiary managing the UK store retail business, set to restructure rental agreements and debt obligations under UK laws.

Furthermore, Superdry intends to ensure the longevity of its turnaround strategy through an equity raise and a delisting from the London Stock Exchange. The proposed equity raise, fully supported by CEO Julian Dunkerton, aims to secure necessary liquidity for the restructuring plan. The initiative to delist is projected to afford the company considerable savings from reduced public exposure and operational costs, aligning with its target operating model.

The company's restructuring plan includes compromises on rental rates and business rates, extension of loan maturity dates, and projected cash savings over the next three years. Superdry confirms that while the restructuring plan and delisting are conclusive, daily operations and key stakeholders, including suppliers and employees, will not be affected.

Final implementation of these plans depends on shareholder approval and court sanctioning scheduled for June 2024, with the restructuring set to come into effect the same month and the delisting and equity raise completion targeted for July 2024.