River Island To Restructure To Avoid Going Bust – Stores To Close
According to reports, River Island becomes the latest retailer to look at Restructuring Plan as a way to avoid going bust. Just after th Covid Pandemic it was considering a Company Voluntary Arrangement (CVA). A Restructuring Plan binds all creditors not just the unsecured ones. It is similar to a Scheme of Arrangement and is governed by the Companies Act 2006. Creditors will vote and the scheme has to be approved by the court. In a restructuring plan dissenting voters can be forced to accept the plan under what is known as a cross-class cramdown.Hundreds of jobs may go and some 33 stores are likely to close. If you are worried about redundancy then we have this guide pageNegotiations with landlords may see further stores close. More soon
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