Struggling sportswear chain JJB Sports has gained some breathing space with its major shareholders and its bank helping out with financial aid.The company is proposing to raise at least £31.5m through a share placing and open offer of shares at 5p each.The fund raising has the support of the company's two largest shareholders, Harris Associates and Crystal Amber, plus Invesco Perpetual, the largest shareholder in Crystal Amber. Additionally, the Bill & Melinda Gates Foundation Trust and GoldenPeaks Capital have agreed in principle to support the share issue."The longer term funding requirements of the company will be assessed once management has completed its work on the business plan," the company said.On the banking front, the Bank of Scotland has agreed to waive the January 2011 covenant tests on the company's £25m revolving facility. Net debt at 19 December 2010 was £21.4 million. There are to be changes at the top, too, with chairman John Clare stepping down to be replaced by Mike McTighe, currently the chairman of Pace, Volex and WYG. Dave Williams is the new chief financial officer, replacing Lawrence Coppock. Hughes joins from TJ Hughes Limited where he has held the position of Finance and IT Director since 2008. Subject to completion of the proposed capital raising certain proposed investors will be offered non-executive board representation.The company added that it remains an important strategic partner of sportswear manufacturers Adidas and Nike, both of which are supportive of JJB's future plans.Current trading remains tough, with the recent poor weather conditions making things harder still, with in store stock availability issues hitting sales.On a like-for-like (excluding VAT) basis, revenue for the period 2 August 2010 to 19 December was 1.6% higher than for the same period last year. Total group revenue for the same period was up 1.0% year-on-year.Overall gross margin for the same period was 37.0%. Year-to-date like-for-like sales are up 8.5% compared to the equivalent period last year. Year-to-date gross margin is 39.9%.The new format stores are trading well, however, giving management hope for the future."The successful completion of the proposed capital raising will represent a significant step forward in strengthening the short term financing of the JJB Sports business. Despite the generally challenging trading conditions, we are encouraged by the performance of our six transformed stores," said chief executive Keith Jones.