Laura Ashley has verified that its majority shareholder MUI Asia is talking about arrangements with its lender, Wells Fargo, to meet its “immediate funding requirements” and to ”draw down additional quantities to meet ongoing operating capital desires for the team in the brief to medium term”.
The retailer reported it welcomed the conversations, but pointed out: “If the team remains unable to accessibility the requisite degree of funding, then the company will want to take into account all proper selections.”
Team gross sales at Laura Ashley fell by 10.eight% for the 26 months to 31 December to £109.6m. It blamed a drop in full profits on “market headwinds” and “weaker client spending”, leading to “a drop in gross sales of greater ticket items”.
Having said that, in a buying and selling update issued more than the weekend, the business pressured that it was “well superior in producing its turnaround strategy”,