SMCP will review the restructuring of its capital
“The Company’s Board of Directors has deemed it necessary to initiate a reflection on the restructuring of its capital with a view to stabilizing and consolidating its shareholding,” said SMCP, owner of contemporary French fashion brands Sandro and Maje, in a statement. .
SMCP shareholders are dominated by a group of former bondholders, including Blackrock and Carlyle, who acquired a 29% stake in the company when its former majority owner, a unit of Chinese conglomerate Shandong Ruyi (002193.SZ ), defaulted on a debt of 250 million euros.
When taking a stake last year, the bond group announced its intention to sell its stake to a third party. Earlier this month they voted to oust five board members associated with Shandong Ruyi, the latest development in a legal battle between former and current shareholders of the French fashion group. Read more
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Reporting by Tassilo Hummel Editing by Chris Reese and Leslie Adler
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