Arcadia future on hold as crucial creditors' meeting adjourned

The future of Sir Philip Green's retail empire remains in the balance after a meeting to secure backing for a rescue plan was adjourned until 12 June.

Arcadia was unable to gain support from enough of its landlords to push through an agreement for its restructuring plan.

The plan includes seeking rent cuts at more than 150 stores and the closure of about 50 more.

It needs approval from creditors in order to avoid administration or liquidation for its seven brands - Topshop, Topman, Burton Menswear, Dorothy Perkins, Evans, Miss Selfridge and Wallis.

The company said the plan - which involves an application for seven company voluntary arrangements (CVAs) - had secured the support of pension trustees, The Pensions Regulator and the Pension Protection Fund, "as well as the full backing of our trade creditors and a significant number of landlords".

However, further talks are needed as Arcadia is still negotiating with landlords including Hammerson, British Land and Intu Properties.

"It is in the interests of all stakeholders that we adjourn today's meetings to continue our discussions with landlords," said Arcadia chief executive Ian Grabiner.

"We believe that with this adjournment, there is a reasonable prospect of reaching an agreement that the majority of landlords will support."

Sky News reported earlier that one of the biggest landlords, Intu Properties - which owns Manchester's Trafford Centre and Lakeside in Essex - would vote against the restructuring plan.

The delay will prolong the anxiety among the fashion empire's 18,000 workers.

If the CVAs are approved, Arcadia could see rents at nearly 200 shops cut by between 30% and 70%.

In return, landlords would be handed a 20% stake in the company.

Sky News also reported that the plan had won The Pension Regulator's support , after Sir Philip handed a further £25m to Arcadia's pension scheme in an eleventh-hour deal.

Arcadia and The Pensions Regulator (TPR) confirmed on Tuesday night that they had reached an agreement, meaning that the watchdog would back a crucial vote to restructure the company's financial liabilities.