Secured creditors get paid, yes, and?

Lady Tina Green, wife of the former retail tycoon Sir Philip, has been handed £50m by Topshop’s administrators, even as pensioners and smaller suppliers face a further wait to recover what they are owed by the collapsed chain.

The Green family’s Aldsworth Equity, incorporated in the British Virgin Islands and controlled by Lady Tina Green, received the payout in May.

The money was lent to Topshop as part of an emergency restructuring in 2019 and secured against a former warehouse in Daventry, in Northamptonshire.

The important word in those three paras being “secured”.

9 thoughts on “Secured creditors get paid, yes, and?”

  1. “Insolvency specialists estimated their fees would go up from £5m to £12m as they worked through a complex network of subsidiaries for the group.”

    ‘Tis always the lawyers that win…

  2. Random Brit in Spain

    Secured creditors get paid before unsecured… so far so uncontentious… But if the secured creditor held a controlling interest in the debtor, then perhaps there is something here that needs attention…

  3. Well, possibly. And so if we pay attention it’s that she lent the company £50 million to stop it going bust earlier. And secured that against the property.

  4. The Meissen Bison

    Very well, but perhaps if the company had gone bust earlier the result would have been better for the other creditors.

  5. The money was lent to Topshop as part of an emergency restructuring in 2019 and secured against a former warehouse in Daventry, in Northamptonshire.

    Surely that would make more sense for a 50m loan? Unless the warehouse was made of gold and contained the Ruritanian crown jewels

  6. The depot was sold for £83m so the administrators still netted £33m after repaying Lady Green her £50m.

    Further down the article it states that she has paid £100m into the pension scheme. A bit of a struggle to make out as Cruella De Vil

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