Finnish Retailer Stockmann Turns to Leasing Back Its Properties

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Struggling Finnish retailer Stockmann plans to sell and lease back its flagship department store properties located in Helsinki, Tallinn and Riga in order to save itself from bankruptcy, it said on Monday, Reuters reported. In April, Stockmann filed for corporate restructuring, a form of administration in which a court appointee is charged with restructuring the company to avoid bankruptcy. Known for its upmarket department stores, Stockmann has struggled in recent years in the face of a consumer shift to online shopping, prompting cost cuts and divestments but eventually it was the coronavirus that led it to restructuring. On Monday, the administrator of Stockmann’s restructuring proceedings filed with the Helsinki district court his proposal for the group’s debtors. Read more