£2.5m loan for The Book People

£2.5m loan for The Book People

The Book People has taken on a loan of £2.5m from Gordon Brothers Europe, said to be to support it "outside of its main trading periods".

Gordon Brothers Europe, a subsidiary of restructuring and investment firm Gordon Brothers Group, said the loan was designed to help the business through a period of "transition", and is designed to "bolster the award-winning business outside of its main trading period, while the bookseller works through a broader recapitalization to support the future growth of the business."

Seni Glaister, chief executive of The Book People, said: "We are very pleased to expand our relationship with Gordon Brothers to see the business through this period of transition. The GB team worked closely with the other stakeholders to successfully deliver a flexible commercial solution for The Book People."

In October last year, The Book People revealed results for 2012, which saw the company recording a £2.5m loss, despite growing revenue by 9.2%. The loss was attributed to a number of one-off costs, such as transferring some of its warehouse operations, which resulted in 88 redundancies, and heavy investment in the company's e-book offering. In 2011, the company saw a profit of £1.7m.

Earlier this month, The Book People announced it would be launching an international delivery service, shipping to English-language customers in territories such as the US, Australia, and to ex-pats in Europe.