A raft of firms including Herbert Smith are lining up to advise in relation to a £65m recovery plan for embattled sports retailer JJB Sports.

Herbert Smith is advising regular client JJB as it gears up for a £65m capital raising and a delisting from the main market of the London Stock Exchange onto the Alternative Investment Market.

Corporate partner Will Pearce is leading Herbert Smith's team alongside corporate partner Gareth Roberts, restructuring partner Kevin Pullen and finance partner Ewen Fergusson. The firm has been advising JJB on its restructuring for around two years.

The retailer last week secured an agreement in principle with its four main shareholders to participate in the capital raising, conditional on creditors and shareholders approving plans for company voluntary arrangements that will see up to 89 stores closed and rents cut in others.

Norton Rose is advising one of the shareholders, Crystal Amber, with corporate finance partner Richard Sheen leading. Cleary Gottlieb Steen & Hamilton London associate Stephen Glasper is advising the Bill & Melinda Gates Foundation Trust and Linklaters is advising US fund Harris Associates. Invesco Asset Management is using in-house counsel.

Hogan Lovells is advising JJB's lender, Bank of Scotland, which has agreed to provide a £25m working capital facility until 31 May 2014.

Pearce commented: "For a corporate finance lawyer, the challenging aspect to advising on a restructuring like this is that it draws on all aspects of corporate finance law including the Listing Rules, Takeover Code and companies, securities and insolvency legislation at the same time."