Shandong Ruyi still has $600 million to raise funds for Bally's acquisition, the impact of Coronavirus
Due to the ongoing outbreak of Coronavirus in China, Ruyi is unable to collect US$ 600 million in funds to buy Swiss luxury brand Bally as expected earlier. It's been more than 2 years since announcement of the contract.
Chinese clothing company Shandong Ruyi has yet to win its financing deal.
The deal was signed without financial details in February 2018. In the hope of creating a global fashion empire, the shares in Bally were bought from JAB Holding in Luxembourg.
The Chinese apparel company has spent billion USD on the demanding LVMH to buy a range of European brands and Asian labels such as SMCP and Aquascutum in France. Met with major challenges since last year, COVID-19 is giving it a significant blow as it has added to its burden.
The company failed to pay off loans and offshore bonds.