Sir Philip Green is in a race to raise some £300m before Christmas to repay a loan secured against Topshop’s London flagship.
Arcadia is in talks with specialist lenders, amongst them an American private equity firm called Apollo, about refinancing the £310m mortgage on its Oxford Street store which is due for repayment before the end of the year, according to the Sunday Times.
The mortgage was taken out from a group of banks in 2014 and had been due to expire last June but was extended as part of Arcadia’s company voluntary arrangement, which saw the group close stores and cut rents.
The Sunday Times reported that a specialist lender would demand higher rates than a high street bank and that any discussions are complicated by Green having given the Pension Regulator a charge over the building as part of its deal.
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