Clarks’ creditors have approved the company voluntary arrangement proposal it launched earlier this month, allowing it to move the majority of its stores to turnover-based rents and opening the door for external investment.
The footwear specialist said the CVA was approved by more than 90% of creditors today, which should in turn now allow for Hong Kong-based private equity firm LionRock Capital to complete its £100m acquisition of a majority stake in the retailer.
LionRock Capital’s takeover of Clarks is still “subject to shareholder approval and the successful completion of a 28-day challenge period on the CVA”.
Clarks chief financial officer Philip de Klerk said: “I am very pleased that the CVA was approved today. This is a significant step towards the formation of our new partnership with LionRock Capital.”
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