5:10pm: Arcadia adjourns meeting to next Wednesday 12 June
4.04pm: Vote count halted until 5pm as Sir Philip calls landlords personally to plead for backing
3.20pm: Vote now being counted with results expected around 4pm
2.30pm: Landlords meet to discuss Sir Philip’s offer of a 20% stake in Arcadia
2.15pm: Landsec said to have key vote on whether at least some Arcadia brands avoid collapse
1.07pm: Intu and Aviva Investors said to be voting against proposals, while M&G voting against at least some of the seven CVAs
7.00am: Deloitte ready to put Arcadia brands that fail to get creditor support into administration within 24 hours
7.00am: Sir Philip’s agrees to pump additional £25m into Arcadia pension fund to secure support of The Pension Regulator
5:10pm Arcadia adjourns meeting to next Wednesday 12 June
Arcadia releases a statement announcing today’s creditors meeting is adjourned for a week. The statement read: “Arcadia Group announces the decision to adjourn today’s creditors’ meetings in order to conduct further dialogue with a few landlords, with a view to securing a final decision on the seven CVAs. Today’s meetings have now adjourned until 12 June.”
Ian Grabiner, Arcadia’s chief executive, said: “It is in the interests of all stakeholders that we adjourn today’s meetings to continue our discussions with landlords. We believe that with this adjournment, there is a reasonable prospect of reaching an agreement that the majority of landlords will support.”
4.04pm Sir Philip Green calling landlords ‘begging for their support’
Vote count has been halted until 5pm as Sir Philip Green, who did not show up at the creditor’s meeting, is calling creditors. One landlord tells Property Week he is ”begging for their support”.
Another insider confirms Sir Philip has not been able to convince Intu or Aviva to support the cost-cutting deals. A long call to Rob Noel, chief executive of Landsec, is said to be ongoing. Previous updates here are confirmed.
3.20pm: Vote count begins at County Hall
Landlords have concluded their meeting and votes are now being counted at County Hall.
Those inside the room expect the results on all seven CVAs to be announced around 4pm, with one retail landlord insider suggesting at least some of Arcadia’s cost-cutting measures will fail to reach the 75% threshold to pass.
2.30pm: Landlords adjourn creditors meeting to discuss Sir Philip’s deal
The UK’s leading landlords have requested a 45-minute adjournment in proceedings at the Arcadia creditor’s meeting to discuss Sir Philip Green’s offer of a 20% shares of the business if they pass his cost-cutting plans this afternoon.
Property Week understands votes on the future of Arcadia’s 570 stores will take place soon after the landlord’s meeting is concluded.
2.15pm: Landsec crucial to Sir Philip’s fate
The survival of Sir Philip Green’s Arcadia empire now lies in the hands of Landsec as Property Week can reveal M&G intends to vote against at least some of the retail tycoon’s rescue plans for the struggling retailer.
M&G is understood to have joined Intu and Aviva Investors in voting against the some of the seven company voluntary arrangements for each of Arcadia’s brands, leaving Landsec as the only landlord left whose decision on how to vote is unknown.
While British Land and Hammerson are understood to be backing Sir Philip’s restructuring plans for brands such as Burton, Dorothy Perkins and Topshop, Landsec’s vote is now crucial to the former billionaire’s high street future.
Sir Philip gained the backing of The Pensions Regulator late last night, but he still needs the support of one of either Landsec or M&G to see the rescue plans approved by creditors. If both decide to vote against, Sir Philip’s empire could collapse within 24 hours.
7.00am: Deloitte ready to pull trigger on administrations with 24 hours
As Property Week revealed this morning, Arcadia’s advisor Deloitte has already drawn up papers to put the troubled group’s high street retail brands into administration as early as tomorrow morning should its cost-cutting proposals not gain support from creditors this afternoon.
The meeting to vote on Arcadia’s seven CVAs got underway at County Hall in central London at midday. It is expected to last for several hours.
While Deloitte and Arcadia are understood to be confident the CVA for Arcadia’s biggest brand Topshop will be voted through by landlords and other creditors, they are less certain the other six proposals will gain support. These CVAs are for the Burton, Dorothy Perkins, Evans, Miss Selfridge, Outfit and Wallis brands.
If any of the seven CVAs do not reach the 75% creditor approval threshold during this afternoon’s crunch meeting, Deloitte is ready to put Arcadia’s brands into administration tomorrow morning if given the go-ahead by the group’s controversial owner Sir Philip Green.
7.00am: Sir Philip in eleventh hour pensions deal
Last night, Sir Philip made an eleventh-hour attempt to avoid the collapse of his empire by agreeing a deal with The Pensions Regulator to put an extra £25m into Arcadia’s retirement fund to secure backing from the Pensions Regulator for the CVAs. The tycoon’s family increased a proposed three-year funding package for the pension scheme to £385m from an earlier offer of £360m.
If the votes on Arcadia’s 570 stores go Sir Philip’s way it will enable him to close around 23 of them immediately and cut rents by up to 70% on almost 200 more. A further 25 UK stores will also close as Arcadia puts the property holding companies of Miss Selfridge and Evans into administration. It is also closing 11 Topshop stores in the US.