Cazoo debtholders draft in bankers ahead of crunch talks

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Lenders to Cazoo, the British-based online car retailer, person enlisted bankers to spearhead talks with the institution astir a £510m indebtedness restructuring.

Sky News understands that the holders of convertible notes owed for repayment successful 2027 person engaged PJT Partners to counsel them connected negotiations with the company.

The discussions were flagged by Cazoo successful a connection to the New York Stock Exchange, wherever it is listed, earlier this week.

Cazoo's stock terms show since it went nationalist successful 2021 done a merger with Ajax I, a peculiar intent acquisition institution (SPAC), has been disastrous.

Nevertheless, its operating show has proved much robust, with the institution declaring itself "very pleased" with its income successful the 2nd 4th of 2023.

Last year, it pulled retired of European markets to absorption connected the UK, portion it has besides sought to trim its currency pain by scaling backmost its array of high-profile sports sponsorship deals.

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The institution was founded by Alex Chesterman, the laminitis of spot portal Zoopla and 1 of Britain's astir palmy entrepreneurs.

One idiosyncratic adjacent to Cazoo pointed retired that it had much than £200m of currency connected its equilibrium sheet, meaning that determination was ample clip to behaviour negotiations with the noteholders.

Some analysts judge the indebtedness restructuring talks are expected to beryllium followed by an connection to instrumentality the institution backstage again.

Cazoo, which is being advised by bankers astatine Goldman Sachs, declined to remark connected Friday.

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