Debt-laden Edcon in 'rescue' deal
By Felix Njini, Bloomberg News - Jan 22nd, 10:47
Debt-laden Edcon reached a non-binding agreement with unidentified investors to recapitalise and avoid selling some of its business, the Sunday Times citing Chief Executive Grant Pattison.
Basic terms have been agreed and the company is putting in place “detailed clauses of the final agreement”, Pattison said, according to the Johannesburg-based newspaper.
The 89-year-old company has about 21 000 employees in South Africa where more than one in four people don’t have jobs.
Edcon, with more than 1 100 stores across southern Africa, has struggled amid weak consumer spending and slower economic growth in South Africa. It was taken over by banks and bondholders in 2016 to avoid failing.
Edcon’s net third-party debt climbed 67% to R7bn ($445m) at the end of June, from R4.2bn a year earlier, as the currency weakened against the euro and interest charges increased after converting some of its debt, it says on its website.Fin 24
9 safety tips to help curb cash crimes in SA's stores
22/04/2019 - 10:03
Retailers must accept that cash crime is prevalent in SA and not going away any time soon, says Richard Phillips, joint CEO of retail cash management company Cash Connect.
Retail sales beat expectations in February
19/04/2019 - 12:39
SA shoppers spent more than expected in February, with retail sales growing 1.1% year on year, led by expenditure in the textiles, footwear and clothing sector.
Pick n Pay surprises local schools with Easter treats
19/04/2019 - 11:57
Two schools were recently surprised with chocolate eggs and hot cross buns ahead of the Easter Weekend.
Asian revenue surpasses European for first time at L’Oreal
18/04/2019 - 09:07
L’Oreal got more revenue from Asia than from Western Europe for the first time last quarter as the region’s surging demand for luxury products continued to resist the drag of a slower Chinese economy.
Easter is also a feast for criminals, retailers and consumers warned
18/04/2019 - 09:01
There is a tendency among criminals to use the Easter long weekend - and its spike in shopping - to their advantage, says Richard Phillips, joint CEO of retail cash management company Cash Connect.