Retailer francesca’s entered into a second lien term loan credit agreement with Tiger Finance.
“We are pleased to have closed the term loan agreement as it provides additional financial flexibility to our organization as we continue to advance our strategic initiatives. We believe that the additional liquidity provided by the term loan agreement, in combination with previously announced cost savings and operating initiatives, will allow the company additional cushion as it implements its turnaround plan, and represents a vote of confidence in the Company’s turnaround efforts,” said Michael Prendergast, interim CEO._x000D_
“We are pleased to provide additional liquidity at this important point in francesca’s evolution,” said Robert DeAngelis, executive managing director of Tiger Finance. “This term loan facility is one example of how Tiger partners with our clients to help them achieve long-term sustainable growth.”
The term loan credit agreement provides for an aggregate term loan of $10 million and matures on August 13, 2022. It is subject to a combined borrowing base together with the company’s existing asset based revolving credit facility. This combined borrowing base, after taking into account the term loan credit agreement, is expected to provide approximately $7 million of net additional liquidity to the company.
Concurrently with the term loan credit agreement, the company obtained an amendment from the lenders under its existing asset based revolving credit facility to permit the new financing.
francesca’s is a specialty retailer which operates a nationwide-chain of boutiques providing a diverse and balanced mix of apparel, jewelry, accessories and gifts.
Tiger Financial is an affiliate of Tiger Capital Group.
