Value fashion group Peacocks is considering closing up to 200 stores as part of a restructuring plan.
The retailer could shut around a fifth of its stores as it seeks to ensure its long-term future, Sky News reported.
Peacocks’ lenders and shareholders are understood to be discussing how to restructure the retailer’s operations and its £240m debt.
It is hoped a deal can be agreed before Christmas. A syndicate of banks and shareholders including Barclays, Royal Bank of Scotland and Goldman Sachs are involved in the discussions.
A Peacocks spokesman told Sky: “We continue to progress our rerestructuring discussions and plans, with no decisions taken at this point.”
Goldman Sachs is likely to end up as Peacocks’ biggest shareholder following the debt restructuring.