// Ann Summers CVA approved by 90% creditors
// 25 UK stores to be switched to turnover-based rent
// Additional funding of up to £10m is being made available to Ann Summers
Ann Summers’ CVA has been approved by 90 per cent of creditors, which will see 25 of its UK stores switch to turnover-based rent.
The CVA will not affect the landlords of its remaining 66 UK stores as terms had already been revised.
No stores will be permanently closed. Suppliers will not be affected either, and no jobs will be lost.
Following the approval of the CVA, additional funding of up to £10 million is being made available to Ann Summers to continue the turnaround of the business.
“This has been a year like no other for Ann Summers. The pandemic has presented new challenges for our business in 2020, which are likely to continue into the early part of 2021,” Ann Summers chief executive Jacqueline Gold said.
“I’d like to place on record my thanks to all those suppliers who have supported the CVA, and to those landlords who agreed revised terms ahead of the CVA.
“Despite the ongoing impacts of Covid-19, with the CVA approved and additional funding in place, we are now able to look to the future with cautious optimism.
“There is a still a very important place on the British high street for Ann Summers, and with our store costs now largely rebased to reflect today’s much changed retail environment, we can not only continue to grow our strong and successful online and Party Plan channels, but our iconic stores will also be able to thrive once conditions return to normal.
“The additional investment in the business will help us continue our development and growth strategy and accelerate the turnaround which is already well underway.”
Ann Summers is being advised by FRP Advisory on the CVA.