House of Fraser have confirmed their intention to put forward proposals for a Company Voluntary Arrangement this month following what they have said is an inaccurate and unhelpful media speculation.
In a statement, House of Fraser said: “This is entirely consistent with the statement made on 2 May. It also continues to be the case that this transaction will see the injection of significant fresh liquidity into the business. House of Fraser is in close dialogue with its lending banks who are supportive of the company’s plans and the transaction with C.banner is progressing as expected.”
Frank Slevin, chairman of House of Fraser, added: “We are on track with our plans to enter the proposed CVA agreement. The funding news from C.banner is another important milestone in this complex process. We continue to have very constructive talks with our banks and other stakeholders who are positive about the plans.”
Alex Williamson, House of Fraser chief executive, said: “If we are to deliver a sustainable, long-term business supported by new liquidity then we need to make difficult decisions about our underperforming legacy stores. I am conscious that inaccurate speculation only feeds the ongoing uncertainty for my colleagues in the business and I reassure them we will share further news when we have it.”
