The financially strained Finnish retailer Stockmann has received approval from Helsinki District Court to continue its operations andl sell off its real estate properties in Helsinki as well as in Tallinn, Estonia and Riga, Latvia.
The court approved the firm's restructuring plans on Tuesday. After selling the properties, Stockmann intends to lease its retail space from an eventual new owner.
The company's still-successful fashion chain Lindex will continue to operate under Stockmann ownership.
The firm's restructuring plans have received support among its lenders. As of mid-January, more than 90 percent of Stockmann's creditors said they approve of the retailer's strategy in clawing back the more than 740 million euros it owes.
The restructuring programme is scheduled to run for eight years, under supervision of lawyer Jyrki Tähtinen, according to the retailer.
"By systematically following the restructuring programme and our updated strategy, we will, in our view, achieve the best result for all parties and make the company's business profitable again. Our goal is to ensure the iconic Stockmann's future as a forerunner in the areas of fashion, home and beauty," Stockmann's CEO Jari Latvanen said in a statement.