Embattled retailer Debenhams secures £40m lifeline

Lenders stump up additional funds as firm seeks longer-term solution to financial woes

A sign stands above the entrance to a Debenhams Plc department store on Oxford Street, London. Photograph: Jason Alden/Bloomberg

Debenhams has secured £40 million in additional funding from some of its lenders as it strives to find a longer-term solution to its financial problems, the embattled UK retail chain said on Tuesday.

"The support of our lenders for our turnaround plan is important to underpin a comprehensive solution that will take account of the interests of all stakeholders, and deliver a sustainable and profitable future for Debenhams," chief executive Sergio Bucher said.

The company also said in the same statement it had signed an agreement with supply chain solutions firm Li & Fung to develop a strategic sourcing partnership. – Reuters