As previously stated, Mosaic Fashions has entered into discussion with its
senior creditor, Kaupthing Bank, to secure the long-term funding of the
business. As part of these discussions the company is considering various
restructuring options.
To date Kaupthing Bank has agreed to temporarily waive its rights in respect of
certain financial covenants and to waive payments of interest and principal
until the next payment date. Mosaic Fashions is also in the process of
negotiating an additional working capital facility with Kaupthing Bank to
provide working capital funding.
There has been considerable speculation in the UK press on the outcome of the
discussions with Kaupthing Bank and on the future of Mosaic Fashions, however
no conclusion on the restructuring discussions, which continue to progress
satisfactorily, has yet been reached. The company will issue further
announcements as new developments emerge.
The company has previously announced that they have commenced a sale process
for The Shoe Studio and there will be a further announcement when this process
concludes. Mosaic Fashions has also received a number of approaches to sell the
Principles business and is considering these within the scope of the
restructuring discussions. There is no intention to split up the group further.
Mosaic Fashions will be contacting the bondholders in due course for their
support in relation to the issues addressed above.
- Ends -
For further information please contact:
Investor Relations
Jessica Wilks
Tel: +44 207 452 1000
Press
Alistair Mackinnon-Musson
Nathan Field
Hudson Sandler
Tel: +44 20 7796 4133
Information on Mosaic Fashions hf is available on the company website at
www.mosaic-fashions.co.uk
High resolution images are available for media to view and download on
http://www.mosaic-fashions.co.uk/hi_res_images.php
