French Connection gets £15m funding lifeline from Hilco Capital

Troubled fashion retailer French Connection bags £15m funding lifeline from turnaround specialist Hilco Capital

Troubled fashion retailer French Connection has bagged a £15m funding lifeline from turnaround specialist Hilco Capital. 

The chain alarmed shareholders when it said it was not eligible for emergency coronavirus loans. 

Lifeline: The chain alarmed shareholders when it said it was not eligible for emergency coronavirus loans

But the £15m debt facility with Hilco for the next two years should be enough to keep it trading.

It shut shops between March 23 and June 15, and reported that sales in stores over the last couple of weeks had been low. 

Sales on the chain’s websites, however, have climbed by 24 per cent over the last 15 weeks. 

Shares surged 63.2 per cent, or 3.18p, to 8.2p yesterday.

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