The Luxembourg-based London Investments Sarl has offered fashion designer Victoria Beckham a R137m loan to save her company.
The singer-turned-designer has been offered the loan after her company, Victoria Beckham Ltd, made significant losses over a four-year period. The loan is set to ensure that Victoria retains control of the company.
However, if Victoria fails to repay the London Investments Sarl its money, the cash could be converted into shares in Victoria Beckham Ltd. In 2017, London Investments put R642 million into the company for a 28 percent share of the business.
A financial expert told The Sun newspaper: “Posh wouldn’t want to relinquish any more control in a business which is formed in her name.
Yet desperate times require desperate measures. The move will secure a much-needed cash injection – and after racking up record losses last year of some £12 million(R256 million ) they can’t afford not to do something radical.”
The injection of money and plans to rebuild the business were revealed earlier this week in new records.
Meanwhile, the 46-year-old fashion designer recently admitted that wearing fitted dresses during the early years of her career was a “sign of insecurity”. She now recognises that her style was geared towards helping to deal with her own insecurities.
When asked whether she ever felt confused about her personal style, Victoria said: “No, not really. When I was in the Spice Girls there were stylists who dressed the group, but in my personal life I have never worked with a stylist.
I used to wear lots of structured dresses with corsetry, and I do still have some of those dresses, but my personal style has become more relaxed. Looking back, I guess it was a sign of insecurity that I would always wear clothes that were very tight, very fitted.”