24th Apr 2020 09:57
(Alliance News) - Sports equipment and clothing retailer Frasers Group PLC on Friday said it has currently not been accepted as eligible for the UK government's Covid Corporate Financing Facility.
The Covid Corporate Financing Facility is designed to help larger firms to maintain liquidity amid disruption caused by the Covid-19 outbreak, through the purchase of short-term debt in the form of commercial paper.
Shares in the company were down 2.6% at 230.00 pence each in London on Friday morning.
The FTSE 250-listed company, which was formerly called Sports Direct International, also said that it has settled the EUR674 million value added tax dispute with the Belgium Tax Authority for an immaterial amount.
"Frasers Group has taken the commercial decision to settle these matters now given the uncertainty is affecting Frasers Group's banking lines and its suppliers' credit insurance where, due to store closures as a result of the current Covid-19 crisis, Frasers Group understands the majority of new credit insurance cover has been withdrawn for the time being," the company explained.
By Tapan Panchal; [email protected]
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