Farfetch considers Browns sale amid funding crisis
The company fueled speculation around its struggles when it announced it would not be publishing its third quarter results on 28 November
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Farfetch is reportedly considering selling fashion retailer Browns as it faces a race against time to secure the future of the company, according to Drapers.
This follows reports that the company is considering taking itself private to prevent its collapse.
Founder José Neves is reportedly in discussion with shareholders and JP Morgan to delist the business just five years after it listed on the New York Stock Exchange.
Furthermore, Farfetch has reportedly been in discussion with existing stakeholder Richemont for extra funding.
However, the company has expressed no interest in further investment in the company.
It told investors that “it has no financial obligations towards Farfetch and notes that it does not envisage lending or investing” into the business.
Farfetch currently has £2.2bn in financial obligations, which include £792m in loans and a £158m credit facility it took out in September.
The company fueled speculation around its struggles when it announced it would not be publishing its third quarter results on 28 November.
