British clothing brand Superdry’s shareholders have voted in favour of the company’s proposed equity raise and delisting strategy, aimed at securing financial stability.
The latest development follows creditor approval for a portion of Superdry’s capital and restructuring measures earlier in the week, addressing UK real estate concerns with rent reductions and retail cost base adjustments.
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The decision follows careful consideration by the independent directors, who evaluated the company’s liquidity needs, creditor interests and shareholder dilution through the open offer.
The general meeting held in Cheltenham on 14 June 2024 saw all resolutions passed, including supporting the clothing company’s £10m ($12.6m) equity raise.
The £10m gross proceeds from the placing are deemed crucial by the independent directors to provide Superdry with sufficient liquidity to pursue its turnaround strategy.
This is especially pertinent given the current challenging economic climate, which makes the placing’s proceeds more reassuring than the approximately £6.9m from the open offer.
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By GlobalDataShareholder participation, excluding Julian Dunkerton, indicated that the dilution difference between the placing and the open offer was negligible, with 34% applying for the new open offer shares, Superdry said in a statement.
The placement’s implementation is now contingent on meeting certain conditions.
The restructuring plan, launched on 16 April 2024, is designed to avert administration for the clothing brand.
The plan also awaits court sanctioning, with a hearing scheduled for 17 and 18 June.
Should the court approve, Superdry anticipates its stock exchange listing will end on 18 June, with the listing cancellation to occur on 12 July.
The new placing shares are expected to be allotted on 15 July.
Superdry chairman Peter Sjӧlander said: “I am pleased that our shareholders have supported the proposed equity raise and would like to thank those shareholders who voted in favour of the proposals before them today.
“This is a crucial step towards delivering the restructuring of the business and ensuring that Superdry is in the best possible shape to complete its recovery and return to growth.”
