Debenhams has announced that it has secured the support of its lenders in the form of a £200 million financing deal.
The news means that the department store chain will now be able to begin its restructuring process that could result in the closure of a number of stores.
£101 million of the funding will be drawn down immediately while the remaining £99 million will become available if Debenhams’ major shareholder Sports Direct, or another shareholder holding 25% or more of the company, meets one of two conditions by 8 April.
These include either a making firm offer for the company, including refinancing the group debt, or Sports Direct cancelling its request to convene an emergency general meeting and then making a commitment to either provide funding or underwrite a rights issue by the company.
If neither of these options are taken up, Debenhams said the second facility would only be made available when its lenders took…