Sir Philip Green’s Arcadia has received a legal challenge from two legal entities of US property group Vornado over its restructuring plans.
Arcadia received backing from the majority of its creditors on 12 June for seven Company Voluntary Arrangements (CVAs). As part of the restructuring plans, the retail giant plans to close 23 stores across the UK and Ireland, and could close all 11 of its Topshop and Topman stores in the US.
CEO of Arcadia Group Ian Grabiner said in a statement: “These challenges are entirely without merit and we will vigorously defend them. The CVAs are a vital part of our restructuring, putting the business on a firm financial footing and enabling significant investment as part of our growth plans which will ultimately benefit all our stakeholders.
“Our group continues to trade as normal and we remain focussed on delivering our turnaround plans.”