BID FOR SURVIVAL
Edcon is looking for white-knight investors
Troubled clothing retailer Edcon confirmed it is in talks with new investors in its efforts to ensure its survival. Edcon, which employs 14,000 permanent staff members and a further 25,000 temporary workers and operates 1,350 stores, has been struggling to stay afloat. It has debt of R7bn and has had to fight hard to maintain its relevance in a clothing retail market that has seen local and foreign rivals such as Mr Price and Zara taking market share. CEO Grant Pattison said on Monday that the group, which operates the Edgars, Jet and CNA chains, was negotiating new leases with its landlords as a way to cut costs.
Pattison is the former Massmart CEO who was brought into the company in January to lead the group’s turnaround. "Edcon’s balance sheet recovery programme has been under way for some time as we continue to focus on completing a recapitalisation of Edcon. Part of the process is the continuing discussions with various stakeholders, which include lenders, landlords, pote...
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