Retail giant Debenhams is looking into deploying a company voluntary arrangement (CVA), which would initiate plans to close more than 20 stores across the UK in 2019.
Ahead of the quarterly rent payments at the end of March 2019, Debenhams is in talks with a series of banks, as they look to extend and increase their borrowings. There has been speculation that the department store is close to maximising its £520m borrowing facilities.
The CVA would allow the company to renegotiate its rent with landlords and speed up the process of closing stores down.
The company currently has 165 stores, with over 25,000 staff members. Debenhams has declined to comment on store closure plans.