BHS hopes new financial backing is a blockbuster of a deal


Retail Acquisitions is understood to have borrowed about £10 million from a subsidiary company of Gordon Brothers in an attempt to help it to roll out the food business of BHS, above, which is performing better than expected.

The Times reports that Documents at Companies House show that Gordon Brothers has been granted a charge over BHS’s leasehold store in Bristol. The loan comes after Retail Acquisitions secured a £65 million loan from Grovepoint Capital in September to fund the proposed restructuring of BHS.

This loan was also secured with charges against a number of stores.

A property and retail specialist said: “BHS is having to sell the family silver to keep the business going and it is trying where it can to extract value from its real estate assets.”

BHS was sold last March for £1 to Retail Acquisitions, which is headed by Dominic Chappell. The retailer has struggled to keep up with the competition on the high street and has lost market share to John Lewis and Debenhams.