Central Retail Corp., a leading Thai retailer, has officially refuted claims of involvement in potential investments in the iconic Selfridges department store. In response to recent reports on Selfridges facing financial challenges, Central Retail Corp. clarified that it has not been in discussions with its parent company, Central Group, regarding any investment opportunities in the UK brand.
Issuing an official statement to the Thai stock exchange, Central Retail Corp. outlined its meticulous approach to evaluating potential investments. The company emphasized that any new investment would undergo scrutiny based on alignment with strategic business plans, appropriate pricing considerations, and optimal timing. In a separate statement, Central Pattana Pcl, another unit of Central Group, also asserted that it has not communicated with its parent about Selfridges and would consider opportunities only if aligned with its strategic objectives.
The statements come amid a New-Year sell-off in shares of both firms, prompted by concerns about potential exposure to Selfridges’ financial risks. Recent accounts reveal ongoing discussions between Cambridge Properties Holding Ltd., the company owning Selfridges, and Central Group for future financing. It’s noteworthy that Signa Prime Selection AG, Cambridge’s co-owner, has applied for insolvency.
The acquisition of Selfridges in 2022 by Central Group, in collaboration with Signa, involved co-ownership of both the property and the operating business. The escalation in interest payments on the property company’s £2.2 billion ($2.8 billion) debt has raised apprehensions, leading to clarifications from Central Retail Corp. and Central Pattana Pcl regarding their non-involvement in potential investments at present.