86 112
Fashion Jobs
STAND OUT FOR GOOD
Brand Rep (Sales Associate)
Permanent · ANN ARBOR
JCPENNEY
Asset Protection SC Manager
Permanent · CEDAR HILL
JCPENNEY
Beauty Field Manager-Bay Area
Permanent · DALLAS
JCPENNEY
Asset Protection Manager-San Antonio, TX
Permanent · SAN ANTONIO
RALPH LAUREN
Associate Manager
Permanent · HERSHEY
A & F
Abercrombie & Fitch - Assistant Manager, International Market Place
Permanent · HONOLULU
A & F
Hollister CO. - Brand Representative, Galleria at Tyler
Permanent · RIVERSIDE
FOOT LOCKER
Director of Safety (Supply Chain)
Permanent · CAMP HILL
LEE
PT Keyholder, Estero, FL
Permanent · ESTERO
URBN
Free People: Merchandise Planning Manager
Permanent · PHILADELPHIA
URBN
Free People: Senior Merchandise Planner
Permanent · PHILADELPHIA
KOHLS
Operations Supervisor - Weekend Overnights
Permanent · EDGEWOOD
KOHLS
Full-Time Loss Prevention Officer
Permanent · SOUTH BURLINGTON
ADIDAS
Key Account Manager: Athletic Footwear
Permanent · PITTSBURGH
KOHLS
Full-Time Loss Prevention Supervisor
Permanent · GOSHEN
KOHLS
Full-Time Loss Prevention Supervisor
Permanent · NAPLES
KOHLS
Shift Leader/Operations Manager - Weekend Night Shift
Permanent · PATASKALA
AMERICAN EAGLE OUTFITTERS
Aerie - Merchandise Leader (Part-Time) - us
Permanent · POOLER
AMERICAN EAGLE OUTFITTERS
ae - Merchandise Leader (Part-Time) - us
Permanent · MURFREESBORO
AMERICAN EAGLE OUTFITTERS
Aerie - Merchandise Leader - us
Permanent · KAPOLEI
NAVY EXCHANGE
Buyer (Level i) - Beauty Care
Permanent · VIRGINIA BEACH
NAVY EXCHANGE
Buyer (Level i) - Pet
Permanent · VIRGINIA BEACH
Published
Jul 6, 2017
Reading time
2 minutes
Download
Download the article
Print
Text size

Vince amends loan and revolving credit agreements

Published
Jul 6, 2017

Vince on Wednesday announced that it has reached an agreement to amend its Senior Secured Term Loan Facility to waive the consolidated net total leverage ratio covenant requirement through, and including the first quarter of fiscal 2019. The statement also referred to the company's recent announcement that it has filed a registration statement with SEC for a proposed rights offering to existing stockholders.
 

Vince


In May, Vince said that it had reached an agreement to amend its Revolving Credit Facility, immediately providing an additional $5 million in borrowing capacity under such facility, which may be increased by an additional $5 million.
 
The new amendment is subject to certain terms and conditions, including that $9 million of proceeds from the proposed Rights Offering will be used to pay down the debt under the Term Loan. Vince also agreed to additional amortization payments and modifications to certain negative and affirmative covenants, as well as a 2% increase in the interest rate and consent fees in the amount of 0.5% of the outstanding debt held by the consenting lenders.

“We are very pleased to have obtained amended agreements with our lenders,” said CEO Brendan Hoffman. “These steps, together with the completion of our proposed rights offering, will provide Vince with additional liquidity and improve the capital structure of the company.”
 
The capital structure of the company has been in question since April when Hoffman shared “substantial doubt about the company’s ability to continue.” Vince posted a net loss of $162.7 million in fiscal 2016 compared to net income of $5.1 million in the prior fiscal year.
 
In the following month, Vince received a Rights Offering Commitment Letter from Sun Fund V that provides $30 million in cash proceeds in the event that the company conducts a Rights Offering of its common stock to stockholders, which Vince filed on Wednesday.
 
Under the proposed Rights Offering, Vince would distribute non-transferrable subscription rights to its existing stockholders as of the record date to be determined, which would entitle the stockholders to purchase additional shares of the Company’s common stock on a pro rata basis. Today, Sun Capital Partners holds 58% of Vince’s outstanding common stock.
 
“Importantly, we believe this should relieve many of the pressures that had previously led management to conclude that there was doubt about our ability to continue as a going concern,” said Hoffman. “We also expect that this will alleviate the pressures on our borrowing capacity that we have seen from the accelerated terms and prepayment requirements imposed by certain vendors. We anticipate that the waiver of our covenant requirement through the first quarter of 2019, as well as the additional liquidity that we are injecting into the business, will enable us to continue to focus on driving momentum and improving performance throughout the business.”

Copyright © 2024 FashionNetwork.com All rights reserved.