Carpetright is taken over

Carpetright has been taken over by its largest shareholder and investor, Meditor, in a deal that will repay its borrowings. Carpetright would have had a net debt of more than £40 million by December and required a further £80 million for investment in its turnaround. The 330 store chain entered into a CVA last year in order to close some stores and achieve reduced rents. In a statement, Carpetright said: “The board believes that the offer is the only viable route to deliver its requirements for a deliverable, controllable solution to the long-term funding required to make Carpetright a sustainable business.” It did, however, warn that the impact of negative consumer confidence and Brexit could present challenges in the current financial year.