River Island - Part 26A Restructuring Plan

River Island, a High Street fashion retailer, has had its Part 26A restructuring plan sanctioned by the High Court.

The company had been struggling in recent years due to a customer shift towards online shopping and higher operating costs. Absent the restructuring plan, which contemplates both a financial and leasehold estate restructuring, River Island said it could have run out of cash by the end of August. Under the plan, 33 stores will be closed and rents will be reduced at 71 locations, with landlord negotiations due to commence shortly.

River Island’s financial advisers were led by Zelf Hussain and Matt McErlane of PwC.

The relevant alternative report was prepared by a Grant Thornton team led by Andy Charters and including Shane Smith and Thomas Edgley-Tricks.

Greenberg Taurig (with a team including Aaron Harlow, John Houghton, Rupert Cheetham, Kevin Mulligan, Adam Potter, Nazmul Miah and Jack Naftalin) advised River Island, while the company’s counsel team were Matthew Weaver KC of Radcliffe Chambers and Matthew Abraham of South Square.