Superdry Engages PwC for Guidance on Debt-Raising Strategies

Fashion retailer Superdry has reportedly enlisted the services of PricewaterhouseCoopers (PwC) to provide counsel on potential debt-raising options, as disclosed weeks after the company issued a profit warning.

Following its latest pre-Christmas trading report, where Superdry acknowledged facing challenges in the consumer retail market, the London-listed company is said to have sought financial advice from PwC, according to sources reported by Sky News. The media outlet highlighted that the brand’s shares recently hit a record low, resulting in a market capitalization of less than £30 million.

This development occurs amid intensified efforts by Superdry founder Julian Dunkerton to implement a turnaround plan. Previously, Dunkerton had appointed Interpath Advisory to oversee restructuring and implement cost-cutting measures.

Although Superdry has not provided an update on its Christmas trading performance, the company had anticipated weaker profits due to trading conditions falling significantly below management expectations in the period leading up to the festive season. Retail sales for the 26-week period ending October 28, 2023, declined by 13.1% year-on-year, influenced by warmer weather, while wholesale experienced a 41.1% decline, in line with the company’s decision to exit US wholesale operations.