PwC moves to secure Icelandic holdings
Administrators from PwC have met with Baugur executives to protect the Icelandic government’s interests in the retail investor
Last week, Landsbanki – the part-nationalised Icelandic bank, which is owed
£1bn of debt by the company – filed a petition in the UK courts to have Baugur’s
stake in companies including Iceland, Hamleys and the House of Fraser
ring-fenced by placing BG Holdings into administration. In response, Baugur
applied for a moratorium, which stops creditors from blocking asset sales.
PwC now holds Baugur’s 13.7% stake in frozen food retailer Iceland, 34.9 % of
House of Fraser, 63.7% of Hamleys and 37.8% of Aurum Group, which runs retailers
including Mappin & Webb and Watches of Switzerland.
Joint administrator Tony Lomas said: ‘We are discussing with Baugur how the
team has managed the portfolio and to establish a working relationship with
those who will help us in the short-to-medium term.’