Lenders at Jack Wills have appointed accountancy firm EY to asses the company’s financial position.
The retailer’s lenders, led by high street bank HSBC, appointed the accountancy firm to assist in negotiations on borrowing covenants, Sky News first reported.
New and existing shareholders are understood to have have invested £20m in the business in the past couple of weeks.
In a turbulent year for the young fashion retailer, founder, Peter Williams, was ousted from the business in August and former Debenhams executive director, Suzanne Harlow, took over as CEO in September.
At the end of last year Jack Wills was understood to be in discussions to reduce rents in an effort to alleviate pressure on the business.
The retailer now has more than 90 stores and opened four new premises in November in Basingstoke, Braintree, Camberley and Spalding.
Jack Wills declined to comment. EY has yet to respond to request for comment.