Aggressive hedge funds are circling Debenhams as the struggling retailer’s lenders bail out of the company.
Hedge funds Alcentra, Silver Point and Angelo Gordon are understood to have snapped up slices of Debenhams’ debt cheaply, positioning themselves to exert pressure on the company as it prepares to refinance.
Mainstream lenders such as Royal Bank of Scotland and Allied Irish Bank have slashed their exposure to the chain.
The Times adds that the retailer is expected to accelerate its cost-cutting drive and axe its dividend as the board tries to turn around the department store chain.
