UK's ASOS cuts interest costs in $319 million refinancing

LONDON (Reuters) -British online fashion retailer ASOS said on Thursday a 238 million pounds ($319 million) refinancing would improve its liquidity headroom and reduce its interest bill, sending its shares higher.

ASOS stock was up 4%, paring 2025 losses to 47%, after it said it had agreed a new 150 million pound term loan and an 87.5 million pound delayed draw term loan with a syndicate of private lenders.

The loans are committed for five years to November 2030 and bring a 5 million pounds reduction in annual interest costs versus the previous facility provided by Bantry Bay.

ASOS warned on annual revenue in September, blaming weak consumer demand.

The group has been working to revive its fast-fashion appeal among its core base of shoppers in their 20s, while cutting costs amid intensifying competition from Chinese rivals and the impact of U.S. trade tariffs.

It will publish 2024/25 results on November 21.

($1 = 0.7451 pounds)

(Reporting by James Davey, editing by Sarah Young)