The Barclay family’s retail and financial services business, Very Group, is set to receive a £598 million loan from U.S.-based hedge fund Silver Point Capital, marking a significant refinancing deal aimed at stabilizing the group’s debt structure and extending the maturity of its financial obligations.
According to sources familiar with the matter, the agreement will allow Very Group to replace its existing debt facilities with more favorable terms while gaining additional time to navigate a challenging retail environment. The new loan package is structured to stretch repayment deadlines beyond 2027, easing short-term financial pressure on the group.
As reported by financial insiders, the deal represents a crucial step in the Barclay family’s broader effort to restructure their portfolio of businesses, which includes high-profile media and retail interests. Very Group, which operates the popular online retailer Very.co.uk, has faced growing competition and consumer headwinds amid inflation and changing shopping habits.
The refinancing also comes at a pivotal moment for the family, which is reportedly exploring the sale of other assets—including The Telegraph newspaper—to further reduce debt and refocus their investment strategy. While the group remains profitable, analysts note that the rising cost of capital and slower economic growth have made refinancing more difficult for highly leveraged firms.
Silver Point Capital, known for its focus on distressed and opportunistic lending, is expected to play a more active role in overseeing the group’s financial health. The hedge fund’s involvement is seen as a vote of confidence in Very Group’s long-term viability, though it may also come with stricter oversight of operations and future cash flow management.
The agreement adds to a wave of similar private credit transactions across Europe, where alternative lenders are increasingly stepping in as traditional banks pull back from complex or high-risk loans. For the Barclay family, this latest move could provide much-needed breathing room as they work to reposition their business empire in a rapidly evolving economic landscape.
