Boohoo Group said it repaid £50 million of its £97 million term loan after selling shares to investors as part of its recently announced refinancing plan. 

Dan Finley, Boohoo CEO, said: “Following the conclusion of the recently announced oversubscribed placing we are today pleased to announce the repayment of £50m of our term loan.”

“The repayment will be made with funds raised from the placing and through the Group’s initiative to reduce stock levels as we become a leaner and lighter business, focused on maximising value for all our shareholders. The Board would like to thank our banking syndicate for their continued support.”

The Manchester-based company is looking to right itself after a collapse in its shares over the past few years and is fighting off Mike Ashley’s attempt to take control. 

Last month Ashley’s Frasers Group, which owns 27% of Boohoo’s shares, ramped up its attack on Boohoo by demanding that co-founder and executive chairman Mahmud Kamani be kicked off the board and replaced by Ashley.

Frasers has asked for a shareholder meeting to vote on the removal of Kamani as a director. A meeting is already scheduled for 20 December for shareholders to vote on the appointment of Ashley and his restructuring professional associate Mike Lennon as directors.