Iceland founder, Sir Malcolm Walker is to maintain control of the frozen food retailer despite hedge funds circling the business and buying its debt.
Walker insisted that Iceland is “trading incredibly well” and that he will not be selling, “despite frequent approaches”.
This comes following claims that he was searching for interested parties to acquire the business that has been trading for the past 52 years.
Investors are said to have purchased Iceland’s debt for just 67p in the pound earlier this year, with these strategies typically used to begin a potential debt-for-equity swap and take control if borrowing is no longer affordable.
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Despite this, Walker and Iceland co-owner Tarsem Dhaliwal have said that they “have no plans to sell the business.”
“In the current climate, customers have never needed affordable quality frozen food more.
“Iceland Foods is 52 years old this week and is a privately owned multi-generational family business. Our sons, Richard Walker and Paul Dhaliwal, hold executive positions and will take over from us in the future.”
They added: “Our 2025 bonds are trading in the mid-80s, which is positive given the current economic climate. The maturity is over two years away, we are paying a very low fixed interest rate, and when the time comes, we are supremely confident of our refinancing plans.
“Only a very small proportion of our suppliers have credit insurance. Credit insurers regularly review cover upwards and downwards for all retailers in the UK; therefore this is “business as usual” for us. We have a collaborative and effective working relationship with all of our suppliers, and they have reported no issues to us to date.”
This news comes as Iceland has unveiled its 2022 Christmas advert featuring Noddy Holder.
The advert, which aired on ITV during Im a Celebrity last week, is making a stand asking customers to support England and Wales in the World Cup, before celebrating Christmas.
