July 31 RadioShack Corp investor BlueCrest Capital Management is pushing the struggling electronics retailer to repay lenders who are blocking its plans to shut stores, Bloomberg reported.
BlueCrest, an unsecured debtholder, said it supported the company's decision to shut stores to stem cash burn and was willing to provide financing, Bloomberg said, citing a letter from the fund. (bloom.bg/1qNFGCg)
RadioShack said in March it would close 1,100 stores after reporting a huge drop in sales during the holidays. It later reduced this target to 200 stores per year over the next three years after failing to negotiate with lenders.
BlueCrest said it was concerned that RadioShack's secured creditors' interests were not aligned with the rest of the stakeholders, Bloomberg said.
A BlueCrest spokesman declined to comment. RadioShack was not immediately available for comment.
RadioShack could run out of cash as early as October 2015, a Moody's Investors Service report said on Tuesday.
RadioShack's shares were down 4.5 percent at $0.62 in noon trading. (Reporting by Sruthi Ramakrishnan in Bangalore; Editing by Don Sebastian)