Spanish retail chain DIA has announced that it has secured a long-term agreement with lenders and shareholders which will ensure financial stability in the company.
As part of the agreement, the retail group has gained access to liquidity amounting to €771 million.
Principal shareholder, LetterOne, has granted immediate access to €500 million for the business while lenders have agreed to provide €271 million.
'Grateful For The Support'
DIA Group CEO, Karl-Heinz Holland, said, "I am grateful for the support, their belief in DIA, and in our potential to create value in the long run. We now have the ability to take on challenges and to develop a great retail brand.
"It is my objective to act effectively for the benefit of our customers, our employees, our franchisees and suppliers," he added.
Over the next four years, DIA will use the amount will be used to ensure that the business is competitive and of the right size in the long-term.
It has also obtained an additional €100 million in the form of capital increase.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: The European Supermarket Magazine.
