Steinhoff Asia Pacific, parent company of Best & Less and Harris Scarfe, has secured a new $300 million loan from its existing banking syndicate.
Last month, NAB and ANZ appointed McGrath Nicol to monitor the business after its international parent company was caught up in an accounting crisi.
The new banking facility has been struck on normal commercial terms based on the strong financial performance of Steinhoff Asia Pacific in 2017.
The loan will secure its funding requirements for the next 12 months
Group CEO of Steinhoff Asia Pacific Michael Ford said this is a vital deal.
“This is a very positive outcome for all stakeholders in our business, comfortably securing Steinhoff Asia Pacific’s funding requirements.
"It reflects the confidence that our existing banking partners share with us about the firm financial and strategic footing our leading portfolio of brands occupy in our Asia Pacific markets.”
“We have carefully and methodically navigated the recent circumstances involving our parent group and maintained business as usual through the peak New Year trading period.
"Pleasingly, we have locked in funding without any unplanned asset sales or the loss of any jobs, preserving our position as a leading retail organisation.
"Our team members and suppliers have been extremely supportive throughout the last two months. This funding package allows our business to continue to focus on delivering our plan for growth.”
Steinhoff Asia Pacific recently filed its annual report for the period 8 June 2016 to 1 October 2017.
The business reported revenues of $2.3 billion, net assets of $411.4 million and cash from operating activities (before interest and tax payments) of $106.0m.