Modella Capital, the private equity firm that purchased UK retailer WH Smith’s bookstore business last year, is creating a restructuring plan to avoid bankruptcy, the Times of London reports. The plan would close up to 100 of the chain’s 500 stores, which have been renamed TG Jones, and “demand rent cuts,” according to the Times. The proposal is a “cram-down,” which requires the consent of only one class of creditor, but also needs the approval of a judge. Modella must prove that their only other alternative is bankruptcy. The largest creditor is reported to be Secure Trust, which provided a […]
