Bank worries about Genesco

Shareholders of clothing and hat firm Genesco approved  the company's $1.5mn  takeover offer from shoe and apparel retailer The Finish Line - as bankers expressed continuing concern about the offer's funding.

The funding for The Finish Line 's $1.5bn acquisition of clothing and hat firm Genesco could be in doubt after the company that agreed to finance the deal expressed concerns about Genesco's deteriorating financial health. 

But UBS Loan Finance LLC and UBS Securities LLC earlier contacted Finish Line to say that they "are extremely concerned about the apparent deteriorating financial position of [Genesco].", adding: "We are continuing to actively monitor this situation...Our agreement to perform under the Commitment Letter may be terminated if a material adverse effect has occurred with respect to Genesco."  The bank also asked for "unfettered access to Genesco's books and records and other financial information."  Finish Line declined additional comment, but announced in late August it might not go ahead with the acquisition.