Superdry landlord prepares lawyers to challenge rescue plan

Superdry's rescue bid, which will impose sizeable rent cuts to landlords, has led the owner of its flagship Oxford Street store to prepare lawyers to block proposals.

M&G, the London-listed asset manager, has enlisted lawyers from Hogan Lovells to scrutinise a restructuring plan, according to Sky News.

This move by M&G, which owns the fashion retailer's 32,000-square-foot Oxford Street store, will not necessarily result in a formal legal challenge however it is a possibility.

Other Superdry landlords, including Landsec, are also understood to be monitoring the situation.

Earlier this month, Superdry published its plan to save the collapsing business. The blueprint foresees steep rent cuts at a large number of its 94 shops on British soil.

In order to get the troubled retailer back on track, it announced rent reductions, an equity raise and is delisting from the London Stock Exchange.

The restructuring plan will not entail immediate shop closures but will impose sizeable rent cuts on landlords of dozens of Superdry outlets.

A spokesman for Superdry said: "The Restructuring Plan is a process designed to secure the long-term future of our business.

"We hope our landlords will support us as we embark on putting in place our new target operating model."