Monsoon CVA under pressure as landlords cast doubts

Monsoon index

Monsoon’s proposed company voluntary arrangement is already facing opposition from large landlords ahead of its reported launch tomorrow, Retail Week understands.

Several of the UK’s largest landlords, including Hammerson and British Land, have taken issue with Monsoon Accessorize’s handling of discussions around its long-mooted CVA which it is expected to unveil tomorrow.

One source close to a large landlord accused Monsoon of a “disappointing” lack of engagement with creditors over the last few weeks, as the embattled fashion retailer has sought to slash rents on around two-thirds of its 270-strong store estate.

Another source cast doubt on whether Monsoon Accessorize’s financial position was bad enough for it to need to resort to a CVA and would be studying the proposal to ensure the insolvency tool was being used “in the right way”.

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