Advertise with fastmoving.co.za
 
 

The PIC, Africa’s biggest money manager, may provide R1.8bn to assist the company, people familiar with the matter said last week.
The PIC, Africa’s biggest money manager, may provide R1.8bn to assist the company, people familiar with the matter said last week.

Edcon makes headway in securing R3bn in funds to keep it going

RETAILER NEWS

By Janice Kew - Feb 5th, 14:25

Edcon Holdings is making progress toward securing R3bn in funding to keep the South African clothing retailer afloat, with the Public Investment Corporation part of the ongoing talks. 

“The approval process is moving forward,” CEO Grant Pattison told reporters. There was “no reason to believe anything is moving off track”.

The PIC, Africa’s biggest money manager, may provide R1.8bn to assist the company, people familiar with the matter said last week.

The owner of brands such as Edgars and Jet employs about 21,000 employees in a country where more than one in four people don’t have jobs and is struggling with a depressed consumer environment and the fallout of a debt-fuelled takeover in 2007. Banks and bondholders took control in 2016 to avoid the retailer failing.

Edcon is closing stores and reducing floor space while the talks progress, Pattison said. The R3bn will give the company three years of breathing space and help it achieve a profitability goal in the third of those, he said.
Business Live 

Related News

Checkers brings world-class retail to Constantia with new flagship store
27/11/2019 - 13:01
Checkers has opened the doors to its state-of-the-art 2 330 m² flagship supermarket at the Constantia Emporium as the retailer continues to take innovation to new heights.

Woolworths carves out market share in SA
27/11/2019 - 10:11
In Australia, David Jones's sales declined 2.1%, with the company saying a store refurbishment contributed to the decline.

Push and pull strategies work together to keep consumers coming back for more
26/11/2019 - 10:20
The retail sector is under increasing pressure as consumers have shrinking disposable income in a strained economy. Maintaining share of wallet is critical. Relying solely on a push route to market strategy from manufacturers into retailers is not enough to get consumers buying products. A pull strategy needs to coexist with the push to drive brand consumption. Integrating these strategies requires intelligent and insightful decision-making. This, in turn, requires data generated through smart technology which provides line of sight across the value chain from manufacturer to distribution, retailer to the consumer.

Exclusive leases must fall: Commission cracks whip on Shoprite, Pick n pay, Spar, Woolies
26/11/2019 - 09:57
The Competition Commission Inquiry into Grocery Retail, published on Monday, called for an end to the exclusive leases negotiated by national retail chains in all shopping malls across the country in a bid to open up access to markets for smaller players.

Today’s customers are loyal to speed and convenience, not brands
25/11/2019 - 11:15
Consumer expectations are rapidly shifting as technologies such as mobile, geolocation, social media and increasingly, Internet of Things devices and wearables, connect people to a world of easily accessible information and convenient services. With the ability to browse, compare and order with a few swipes and taps, consumers are becoming trained to value convenience and service above nearly anything else.