Arini Capital, the hedge fund founded by former Credit Suisse credit trader Hamza Lemssouguer, has agreed to provide £598m in financing to the Very Group, the UK-based online retail business owned by the Barclay family, according to a report by The Times.
The deal will see Arini purchase senior secured notes issued by the Very Group, part of a broader refinancing package aimed at strengthening the retailer’s balance sheet ahead of a potential sale of the business.
Founded in 2022, Arini has quickly become a prominent player in the European credit markets. Lemssouguer, who made headlines for generating $120m in profits trading junk bonds during the pandemic, now manages over $7bn in assets with a team of 70-plus professionals.
The new notes will be used to repay £575m of existing debt maturing in August 2025. Arini’s newly issued debt instruments will mature in August 2027, with the potential for a three-year extension if the Very Group hits specific deleveraging and credit rating targets.
Carlyle Group, which provided an earlier financing facility in 2021, and International Media Investments (IMI) – an Abu Dhabi-based investor – will remain as lenders. IMI played a key role in refinancing the Barclay family’s broader debt obligations in 2023, alongside a joint venture with RedBird Capital that sought to convert media-related debt into equity.
The Very Group forecasts adjusted EBITDA of £300m to £305m for FY2025, rising to £305m to $320m in FY2026, driven by operational efficiencies, distribution cost reductions, and ongoing governance improvements, including the appointment of independent board members.
The refinancing prompted Fitch Ratings to upgrade the group’s credit profile from CCC+ to B-, citing its resilient e-commerce model, lean cost base, and Skygate, its automated fulfilment centre, as competitive advantages.
“Extending our debt maturities reflects the continued confidence of our lenders in the group’s strategy and performance,” said Ben Fletcher, CFO at Very.
The transaction underscores Arini Capital’s growing influence in the European credit landscape, as hedge funds increasingly step into roles traditionally occupied by private equity or banks—particularly in complex, event-driven situations with upside potential.
Both Very Group and The Telegraph, also controlled by the Barclays, have been put up for sale as Emirati investor Sheikh Mansour bin Zayed Al Nahyan seeks to recover funds deployed via the IMI-RedBird joint venture. The UK government previously blocked an equity conversion plan for Telegraph debt, citing national interest concerns.
