Hilco UK provides a suite of services to assist retailers, private equity sponsors, corporate financiers and lenders.
Acquiring under-performing businesses or divisions
A poorly performing division will have a detrimental effect on the overall business and worsen its financial performance. When Hilco acquires any underperforming part of a retail business, it shelters the core business from any adverse effects and relieves senior management from the burden of managing a difficult portion of its business. Ultimately, Hilco enables management to focus its efforts on the group’s core activities.
Providing expert retail operational management and implementing retail business turnarounds
If a retail business is in difficulty, or already subject to an insolvency procedure, our operational teams can implement agreed solutions. We can often provide additional working capital funding to ensure the project is completed with the maximum return to the client.
Providing finance for acquisitions
By taking ownership of non-core assets, Hilco’s financial strength enables us to partner with private equity funds or retailers in the acquisition of retail businesses. In the acquisition of a multi-site retail group, the purchaser may not want to acquire all of the stores or all of the retail businesses contained within the group.
Implementing store closure programmes
A well-managed store closure programme can help a retail business build a strong brand and drive sales across the remaining stores. Hilco has a proven track record demonstrating our retail and operational expertise to manage the entire exit process. We can help to generate maximum returns, eliminate the financial risks and allow management to focus on the core business.
Purchasing distressed debt positions
If a Lender believes that the risks of continuing to extend a debt facility are too great, Hilco can provide a viable solution. We can make an up-front cash payment to acquire the debt and the related security positions, which may exceed the Lender’s assessment of likely recoveries.
Private equity investment
If a private equity group is seeking to acquire a retail business we can act as a full partner on the transaction providing both funding and the expertise in the operation of the business, where required. Alternatively, a private equity group may have acquired a business with retail subsidiaries or assets that are not central to the transaction. In this case, we can acquire those assets and facilitate a successful acquisition.