Jack Wills in funding call
Jack Wills' lenders have called in advisors to assess the fashion retailer’s financial position, mere weeks after it took on new financing from investors. According to a report from Sky News, the lenders – led by HSBC – has called on EY in the face of speculation that the Jack Wills business could require further cash advances within months. It is understood that EY will be called upon to negotiate revisions to the retailer's borrowing covenants as well as examine its ongoing financing requirements.
The news comes several weeks after Jack Wills reportedly received a £10 million cash injection from the Italian family office which is also an investor in the retailer’s majority shareholder, BlueGem Capital Partners. The latter has also been said to have invested a further £10 million to support the retailer.
Jack Wills, with some 90 stores, is one of a number of UK retailers currently experiencing difficulty due to currency headwinds and a general decline in high street footfall.