Plans reportedly drawn up by bondholders, could see Intu lose some of its key retail assets as early as June.
React News reported that law firm Clifford Chance and investment bank Moelis & Company have been appointed to advise bondholders of £1.3bn of debt secured against some of Intu’s centres.
Lakeside in Essex, Braehead in Glasgow, Watford in Hertfordshire and the Victoria Centre in Nottingham could be seized if Intu breaches debt covenants in June.
After it received less than one-third of UK quarterly rent payments, Intu had already warned that it may breach debt covenants in July.
It received just 29 per cent of rent due across its centres in the UK, compared with 77 per cent of rent for the same quarter last year.
The outbreak of Covid-19 has undoubtedly contributed to a decline in rental income.
Intu employs about 2500 people and owns 14 shopping centres in the UK.