Superdry to delist from the LSE as part of restructuring plan

Superdry will delist from the London Stock Exchange as part of a restructuring plan to save the company.

The troubled retailer told investors on Tuesday that the plan will also include rent reductions at 39 UK sites.

The Cheltenham-based company added that the plan will include extending the maturity date of loans made under the group’s credit agreements with Bantry Bay and Hilco.

superdry stock fell 28.63 per cent to 5.71p in Tuesday morning trading.

Superdry, known for the Japanese graphics on its t-shirts and hoodies, also revealed plans to raise capital worth £10 million, which will be funded by founder and chief executive Julian Dunkerton.

In a statement, the firm said the company will benefit from “significant cost savings associated with going public.”

He added that the delisting will help the company “implement its turnaround plan away from increased exposure to the public markets.”

Julian Dunkerton said: “Today’s announcement marks a critical moment in Superdry’s history.

“My decision to fund this capital raise demonstrates my continued commitment to Superdry, its stakeholders, its suppliers and the people who work for it.”

Peter Själander, chairman of Superdry, added: “We believe the proposed restructuring plan, combined with the fully backed capital increase backed by Julian, is the best way to achieve this, along with a delisting which would further reduce costs and would allow the business to advance the change.”

The retailer, which employs around 3,350 people worldwide and operates 216 stores along with franchise stores, has faced trading difficulties in recent years.

It has recorded just one year of profitability since 2020.

The group posted an adjusted pre-tax loss of £25.3m for the six months to October 28, compared with a loss of £13.6m last year.

Revenue plunged 23.5 per cent to £219.8 million during the period.

Last month, Dunkerton, which has a 26 percent stake, failed to complete its full takeover of the British retailer.thus ending a two-month chase.

Dunkerton, who founded the company in 1985, abandoned acquisition talks after approaching the company in February about a possible offer for shares he did not already own.

He and the board concluded that any offer made was unlikely to be sufficient to help the company meet its cost-savings and turnaround plans.