Iceland distress continues as investment firm enters moratorium

Icelandic investment company Baugur has announced today that it and its wholly owned subsidiaries have applied to the district court of Reykjavik to enter into the moratorium process.

The Baugur Group invests in retail companies across the globe. Its listed investments include Saks, Debehams, and French Connection, as well as House of Fraser, All Saints, and supermarket chain Iceland.

According to various media sources, it holds approximately $2 billion of debt outstanding. Furthermore, its main creditors included Landsbanki, Glitnir, and Kaupthing, which were all placed under administration in October.