The UK-based menswear brand Moss Bros has got the green signal for a company voluntary arrangement (CVA) from more than 80 per cent of its creditors.
The approval will now help the retailer to revamp the cost base of its business.
Founded in 1851, the renowned menswear label launched CVA only late last month after extended lockdowns and fast receding demand for officewear hit its sales badly this year.
Also Read: Moss Bros launches CVA restructuring deal
The creditors who approved the CVA also include majority of landlords. However, no further details of CVA have been revealed as yet.
While considering the approval to be a major milestone, Brian Brick, Chief Executive, Moss Bros, said that the CVA approval will enable the brand to recover from the pandemic on a sound financial footing.
He also said that the company recognises the support of its new shareholders all through challenges of the pandemic and the CVA process.
Back in September 2020, Moss Bros had hired auditing firm KPMG to advise them on CVA with a focus on switching to turnover-based rents.
Tough times continue for menswear retailers…
