Fashion group Talbots has ended its relationship with Japanese retail group Aeon and at the same time reduced its debt through a new acquisition and financing plan.

The company has been bought by BPW Acquisition Corp, a special purpose vehicle with $350m (£215.7m) in cash, and secured a new $200m (£123.3m) debt facility.

As a result of the deal Aeon, formerly Talbots biggest shareholder, no longer has any stake in the business.