EDCON CEO Bernie Brookes says he is confident about the group’s future after the retailer secured support from its bondholders and bank lenders to obtain R1.5bn in bridge financing.As part of efforts to improve its financial performance and maximise its liquidity position, Edcon is undertaking a comprehensive reform of its entire capital structure. The apparel group expects the streamlining of its business to culminate in a significant reduction of its debt.Boston-based Bain Capital bought Edcon for R25bn in a leveraged buyout in 2007. The global economic crisis, which began soon after the deal was finalised, hit the group hard. Since then the group has grappled with increasing debt.Brookes said the bridge financing had been devised with the support of Bain as well as key lenders. "The consent provided by our lenders not only assures the group’s liquidity, but also facilitates the next step of debt restructuring. Along with a comprehensive set of operating initiatives and renewed fo...
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