Blacks Leisure in £22m share sale recovery bid

Blacks Leisure wants to open 35 new stores

Outdoor clothing and equipment retailer Blacks Leisure has said it plans to raise £22m in a share sale to help pay for its recovery.

The group hopes to use the money to open 35 new stores and refurbish existing retail outlets.

Blacks Leisure Group struck a rescue deal with creditors in November. This allowed it to stay in business, but saw the closure of 89 stores.

The Blacks Leisure Group includes Millets, Blacks and Freespirit stores.

Chief executive Neil Gillis said the share sale would speed up the group's turnaround plan.

"The proceeds will underpin a selective expansion of our outdoor retail estate in towns where we have previously traded successfully or which currently lack an outdoor retail offer, and accelerate the refurbishment of our core estate which has suffered from years of underinvestment," he said in a statement.

The Blacks Leisure group now comprises 208 Millets stores, 92 Blacks stores and 13 Freespirit stores.

It has closed its O'Neill shops, which specialised in surfwear.

The November rescue deal saved over 4,000 group jobs from being lost.