INTERNATIONAL - French furniture chain Conforama, which is a unit of troubled South African group Steinhoff , said it had reached agreement with Tikehau Capital for a financing line of 115 million euros ($141.9 million) over three years.
The deal comes two weeks after Conforama had agreed to sell a 17 percent stake in online fashion retailer Showroomprive.com to French supermarket retailer Carrefour for 79 million euros.
“The Conforama group now has almost 200 million euros of additional liquidity, ensuring its long-term financial independence and stability,” Conforama chief executive Alexandre Nodale said in a statement.
“This will allow the group to continue to carry out its multi-channel development projects in France and in each of the countries where it operates,” he added.
Steinhoff, owner of more than 40 retail brands including Poundland in Britain, is trying to plug a liquidity gap after admitting “accounting irregularities” last month, which triggered an 85 percent share price slide for the group.
Earlier this month, Steinhoff secured a 60 million euros lifeline for its European operations.
Conforama has 14,000 employees and 315 stores. The bulk of its stores are in France while it is also present in Spain, Switzerland, Portugal, Luxembourg, Italy, Croatia and Serbia.