Loan & DebtJun 5, 2026, 05:21 PM
Birks Group Secures New $32.5M Term Loan, Extends Wells Fargo Revolver
AI Summary
Birks Group Inc. announced the closing of a new five-year $32.5 million senior secured term loan facility with Gordon Brothers, which refinances its existing $26 million term loan. Concurrently, the Company extended its senior secured revolving credit facility with Wells Fargo to June 2031, increasing total commitments to $93 million. Additionally, a $3.75 million loan agreement with Mangrove Holding S.A., a controlling shareholder, was amended and extended to June 2031, with new interest and repayment terms. These financing arrangements provide increased liquidity, enhanced financial flexibility, and extended debt maturities to support strategic initiatives.
Key Highlights
- Birks Group secured a new five-year $32.5 million senior secured term loan facility with Gordon Brothers, maturing June 2031.
- The new term loan refinances the Company's existing $26 million senior secured term loan credit facility, which was repaid in full.
- The senior secured revolving credit facility with Wells Fargo was extended to June 2031, with total commitments increasing by $3 million to $93 million.
- The $32.5 million Term Loan bears interest at Term CORRA plus 6.75% to 7.75%, decreasing to $30.0 million in December 2027.
- The Revolver Facility bears interest at Term CORRA or SOFR plus 2.00% to 2.5% (CAD) or 1.625% to 2.125% (USD).
- The $3.75 million loan agreement with Mangrove Holding S.A. was extended to June 2031, with interest at 12.2% from August 1, 2026.
- Mangrove Loan repayment includes annual principal payments of $250,000 from June 2028, with a final $3.0 million payment before June 2031.
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