NEW YORK--(BUSINESS WIRE)--
Vince Holding Corp. (NYSE:VNCE), a leading global luxury apparel and
accessories brand (“Vince” or the “Company”), today announced the
closing of a new $27.5 million senior secured term loan facility (the
“Term Loan Facility”) and a new $80 million senior secured revolving
credit facility (the “Revolving Credit Facility”).
The new Term Loan Facility replaces the Company’s prior $29 million term
loan facility maturing in November 2019. The new Revolving Credit
Facility replaces the Company’s prior revolving credit facility, which
was capped at $70 million, and carries a slightly improved interest rate
of either LIBOR plus 1.5% to 2% or the prime rate plus 0.5% to 1%. For
more information about the Term Loan Facility and the Revolving Credit
Facility, please refer to the Company’s current report on Form 8-K filed
with the Securities and Exchange Commission concurrently with this
release.
David Stefko, EVP, Chief Financial Officer of Vince commented, “We are
very pleased to have completed both the Term Loan Facility as well as
the Revolving Credit Facility. Since we began our turnaround efforts, we
have made great strides in enhancing our product assortments,
repositioning and strengthening our wholesale channel partnerships and
elevating our focus on the direct-to-consumer channel, all of which have
generated highly favorable response as reflected in our first quarter
results. With this enhanced capital structure in place, we have even
greater financial flexibility to continue to execute on our strategic
initiatives and achieve our long term growth objectives. We look forward
to sharing more with you on our earnings call next month.”
About Vince
Established in 2002, Vince is a leading global luxury apparel and
accessories brand best known for creating elevated yet understated
pieces for every day. The collections are inspired by the brand’s
California origins and embody a feeling of warm and effortless
style. Vince designs uncomplicated yet refined pieces that approach
dressing with a sense of ease. Known for its range of luxury products,
Vince offers women’s and men’s ready-to-wear, shoes, and capsule
collection of handbags, and home for a global lifestyle. Vince products
are sold in prestige locations worldwide. As of June 11, 2018, the
Company operated 44 full-price retail stores, 14 outlet stores and its
e-commerce site, vince.com. The Company is headquartered in New York and
operates a design studio in Los Angeles. Please visit www.vince.com
for more information.
Forward-Looking Statements: This document, and any statements
incorporated by reference herein, contains forward-looking statements
under the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include statements regarding, among other
things, our current expectations about the Company's future results and
financial condition, revenues, store openings and closings, margins,
expenses and earnings and are indicated by words or phrases such as
“may,” “will,” “should,” “believe,” “expect,” “seek,” “anticipate,”
“intend,” “estimate,” “plan,” “target,” “project,” “forecast,”
“envision” and other similar phrases. Although we believe the
assumptions and expectations reflected in these forward-looking
statements are reasonable, these assumptions and expectations may not
prove to be correct and we may not achieve the results or benefits
anticipated. These forward-looking statements are not guarantees of
actual results, and our actual results may differ materially from those
suggested in the forward-looking statements. These forward-looking
statements involve a number of risks and uncertainties, some of which
are beyond our control, including, without limitation: our ability to
continue having the liquidity necessary to service our debt, meet
contractual payment obligations, and fund our operations; our ability to
comply with the covenants under our credit facilities; our ability to
successfully operate the newly implemented systems, processes and
functions recently transitioned from Kellwood Company; our ability to
remediate the identified material weaknesses in our internal control
over financial reporting; further impairment of our goodwill and
indefinite-lived intangible assets; our ability to realize the benefits
of our recently announced strategic initiatives; the execution and
management of our retail store growth plans; our ability to make lease
payments when due; our ability to ensure the proper operation of the
distribution facility by a third-party logistics provider; our ability
to remain competitive in the areas of merchandise quality, price,
breadth of selection and customer service; our ability to anticipate
and/or react to changes in customer demand and attract new customers,
including in connection with making inventory commitments; our ability
to manage excess inventory in a way that will promote the long-term
health of the brand; changes in consumer confidence and spending; our
ability to maintain projected profit margins; the execution and
management of our international expansion, including our ability to
promote our brand and merchandise outside the U.S. and find suitable
partners in certain geographies; our ability to expand our product
offerings into new product categories, including the ability to find
suitable licensing partners; our ability to successfully implement our
marketing initiatives; our ability to protect our trademarks in the U.S.
and internationally; our ability to maintain the security of electronic
and other confidential information; serious disruptions and catastrophic
events; changes in global economies and credit and financial markets;
competition; our ability to attract and retain key personnel; commodity,
raw material and other cost increases; compliance with domestic and
international laws, regulations and orders; changes in laws and
regulations; outcomes of litigation and proceedings and the availability
of insurance, indemnification and other third-party coverage of any
losses suffered in connection therewith; effect of the U.S. federal
income tax law reform; other tax matters; and other factors as set forth
from time to time in our Securities and Exchange Commission filings,
including those described under “Item 1A—Risk Factors” in our Annual
Report on Form 10-K and Quarterly Reports on Form 10-Q.
We intend
these forward-looking statements to speak only as of the time of this
release and do not undertake to update or revise them as more
information becomes available, except as required by law.
This press release is also available on the Vince Holding Corp. website (http://investors.vince.com/).
View source version on businesswire.com:
https://www.businesswire.com/news/home/20180822005054/en/
Investor Relations:
ICR, Inc.
Jean Fontana, 646-277-1200
Jean.fontana@icrinc.com
Source: Vince Holding Corp.