J.Jill completed the refinancing of its previously outstanding priming term loan and subordinated term loan facilities using the proceeds from the new term loan and cash on hand. Through this refinancing transaction, the company has replaced approximately $222 million of funded debt set to mature May 8, 2024 and Nov. 8, 2024, with a new $175 million term loan facility (about $144 million net of cash) that matures May 8, 2028.
“We are pleased to successfully complete this debt refinancing which reduces our debt exposure and secures four years of additional term,” Mark Webb, chief financial and operating officer of J.Jill, said. “With the refinancing behind us and given the significant cash generation of the business, we now have the financial flexibility to execute on our objectives and drive total shareholder return.”
With the closing of this transaction and excluding the one-time impact of accelerated debt issuance costs, the Company expects no material changes to its interest expense in fiscal 2023.
Kirkland & Ellis served as legal advisor to the company and Jefferies served as sole lead arranger with Latham & Watkins as legal advisor in connection with the debt refinancing transaction.
