La Senza’s private equity owner, Lion Capital, has floated plans to close down a series of underperforming stores in a bid to cut costs and improve performance.
Up to a quarter of the group’s 180 branches – 66 of which are still registered under the name of former sister lingerie chain Contessa – could close down.
Lion Capital bought La Senza in 2004. It acquired Contessa from Dragon’s Den host Theo Paphitis two years later, but converted the stores and traded them under the La Senza name.
The group took on a 100 percent of La Senza’s debt from lender GSO Capital in January 2010, after the breach of certain banking covenants.