Essential reading for retailers and suppliers in the home improvement market

Homebase completes refinancing with £95m

Published: 23 November 2018 - Kiran Grewal

Home retail giant Homebase has confirmed it has secured an asset-based lending facility of up to £95m with Wells Fargo Capital Finance, part of Wells Fargo & Company (NYSE: WFC). 

“We are really pleased to have secured lending facilities from Wells Fargo as Homebase achieves another milestone in delivering its turnaround plan,” said Damian McGloughlin, CEO. “We look forward to working closely with Wells Fargo, who have provided a bespoke facility that supports the working capital requirements of the business.”

The refinancing is the latest milestone achievement for the Homebase business, which is in the midst of delivering its turnaround plan. Following the successful agreement to the Company Voluntary Arrangement, which was supported by 96% of all creditors, along with improved trading and execution, EBITDA for the first four months of the current financial year is already £35m ahead of last year, and the business is on track to return to profitability by the end of 2019.

Homebase appointed experienced retailer Ian Topping as part-time non-executive chairman to provide support to its management team last month.  Of his appointment, Mr Topping said: “Homebase has been a mainstay of UK and Ire

 

land retail for over 40 years and I am very pleased to join the company as chairman. The challenges Homebase has faced in recent years have been well documented, however, it continues to have a unique market position, and there is huge potential for the business to return to a position of strength. I am excited to be playing a part in this, and I am proud to be a part of this great business.”

Mr McGloughlin continued: “We are working with all our stakeholders to capitalise on the opportunities in the home improvement market in the UK and Ireland, and I would like to thank our team members, suppliers, and landlords for their continued support as we work towards returning to profitability.”

“We are delighted to have the opportunity to work with the Homebase team,” said Steven Chait, managing director and head of EMEA at Wells Fargo Capital Finance. “This asset-based credit facility, tailored to support the turnaround of the business, demonstrates Wells Fargo’s capability in providing a financial solution that fits well with the needs of our clients.”

 

Comments


(Your email address will not be published)
Already Registered?
Sign In
Not Yet Registered?
Register
Printable View E-mail Bookmark
*

What do you think?


How have outdoor living lines been performing for you this season?




Latest reader comments

re: Quick and easy wood treatment oil from Frogsuit

Beverley
Hi, please confirm if Frogsuit can be used on all external wood doors and sheds.RegardsBeverley...

re: Quick and easy wood treatment oil from Frogsuit

Chris - Frogsuit Ltd
Hi Arthur, thank you for your query. Depending on the product and the type of wood you may need to prepare the items prior to application. ...

re: Kingfisher appoints new CEO

B&Q bob
Not good news for BQ staff supermarket bosses have little respect for staff or staff retention, also see every opportunity to increase ...

re: Quick and easy wood treatment oil from Frogsuit

Arthur
Hi, I watched your slot on QVC this morning and was quite impressed. However, I do have a question. The slot demonstrated Frogsuit being ...

re: Women line up for B&Q DIY classes

Linda Harman
Are there any ladies DIY classes near Burnham on Sea Somerset...