New Look on path to secure refinancing

British fashion retailer New Look is believed to be in advanced talks about a possible debt refinancing that would aim to support it through a turbulent trading environment.

The high street fashion chain is reportedly close to finalising a 100 million pound fund that would replace a term loan that matures in June 2024.

The move was reported by Sky News, which said New Look had been in talks with Blazehill Capital and Wells Fargo, and working with advisers at Deloitte, on the potential refinancing.

A spokesperson for New Look confirmed the speculation in a statement to the media outlet, noting: "With New Look's 100 million pound term loan maturing in June 2024, the group is currently in positive discussions with advisers and potential lenders regarding a refinancing.

"The business continues to deliver on its strategic objectives, underpinned by its omnichannel strategy, fashion credentials and great value product."

It comes as New Look continues in its efforts towards a sustainable long-term capital structure after carrying out a series of store closures over the past year.

The strategy fell alongside a series of redundancies at the retailer’s head offices, with roles at its Weymouth and London support centres particularly affected.

It had previously attempted to cement a sustainable position through two restructurings, the most recent being in 2021.

Despite this, the retailer is considered one of the UK’s largest clothing giants, operating over 400 locations across the region and employing over 10,000 staff.