Victoria’s Secret £890bn takeover on the brink

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Victoria’s Secret £890bn takeover on the brink after row over store closures and executive pay cuts

By Daily Mail City & Finance Reporter

Published: | Updated:

The £890bn takeover of Victoria’s Secret owner L Brands is on the brink

The £890billion takeover of Victoria’s Secret owner L Brands was on the brink last night after a row over store closures and executive pay cuts.

In a lawsuit filed in the US yesterday, private equity group Sycamore said L Brands had failed to adhere to a ‘detailed set of obligations’ associated with the takeover – by closing stores, cutting the pay of senior staff and putting employees on furlough.

The buyers claim the terms of the deal dictate that the business had to be run as usual, and that those terms have been breached.

Victoria’s Secret said its actions were ‘consistent with the steps that retailers have taken in response to the pandemic’.

 

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