Dune mulls CVA, drafts advisors for strategic review
The shoe retailer is reportedly in talks with landlords about potential rent cuts, according to Sky News
Dune is reportedly in talks with landlords about potential rent cuts, which could lead to a CVA depending on negotiations, according to Sky News.
The footwear retailer, which was founded in 1992 by Daniel Rubin and employs around 1,200 people across its 42 stores, has recruited advisors from KPMG to begin a strategic view of the business.
It is believed that talks with landlords are revolved around converting to a turnover-based rent model for Dune stores, which have been closed for the majority of the year due to lockdown restrictions resulting from the pandemic.
Speaking to Sky News, Rubin said: “The trading environment continues to be extremely tough, and like many other high street retailers, we are reviewing all aspects of our business to ensure we’re in the best position possible to navigate our way through this difficult period.
“We’ve had constructive dialogue with our landlords since the start of the pandemic, but we now need to engage with them further if we are to safeguard our future.”
He added: “To this end, we have appointed KPMG to review options specifically in relation to our property portfolio, and to assist us with our negotiations with stakeholders as we seek to manage our business through the months ahead.”