Manchester-based fashion retailer N Brown Group on Tuesday published a trading and financing update amid the industry’s coronavirus crisis troubles.
The firm said trading has improved from the levels experienced in early March but continues to be affected by the Covid-19 pandemic, and said new financing arrangements have been secured with its lenders.
“Trading has improved from the sudden and significant decline experienced in March with product sales down 25% in the last six weeks,” said N Brown Group.
N Brown’s brands include JD Williams, Simply Be and Jacamo.
On its financing facilities, N Brown Group said: “As at 18th May 2020, drawings under the securitisation facility and RCF stood at £512.0 million.
“As at the same date cash balances stood at £45.3 million and the overdraft facility was undrawn …
“Today, the group is pleased to announce new financing arrangements with its long-standing, supportive lenders …
“A new up to £50 million 3-year Term Loan facility, provided by our lenders under the Government’s Coronavirus Large Business Interruption Loan Scheme …”
N Brown Group CEO Steve Johnson said: “We are pleased to have secured support from both our banking partners and the Government’s loan scheme, which help to strengthen our financial position and gives us the flexibility and certainty to manage through this challenging period.
“In addition, the immediate and substantive actions we took at the very outset of this crisis have supported our working capital positively in this period.
“We have a unique portfolio of brands and products which appeal to a range of customer groups who can also benefit from our flexible payment options.
“As we further develop and improve our offer, we remain confident in the long-term prospects for the business as we emerge from these challenging times.”