Stockmann offered an update on its parent company restructuring process on Tuesday saying that the District Court of Helsinki has ruled a temporary prohibition of debt collection and appointed an interim administrator.
Stockmann's parent company is filing for corporate restructuring as cash flows are dented by the coronavirus. But its department stores and its Lindex chain won't be affected, the company said on Monday.
Stockmann is forging ahead with its transformation plans and while the signature department store chain is loss-making and the market is tough, the firm is upbeat on its prospects and of those of the more buoyant Lindex.
Lindex improved in Q3 and owner Stockmann is mulling strategic alternatives for the chain, but the firm's department stores remain a challenge, although strategy tweaks focused on fashion, beauty and home are under way.
Finland's Stockmann said on Monday it was seeking changes to its loan conditions to “provide sufficient time” to consider whether to sell fashion chain Lindex or pursue other strategic options for the lucrative unit.