Tailored Brands receives $75 million in new financing
Tailored Brands announced on Friday the closing of a $75 million investment, nearly three months after exiting bankruptcy.
The specialty menswear retailer said it received financing including $50 million of mandatorily convertible notes and $25 million in additional senior secured debt from a group of existing shareholders and lenders.
The transaction will provide additional liquidity for the company, “as it continues to advance its strategic plans to ensure it is best positioned to meet the evolving needs of its customers following the Covid-19 pandemic, and demonstrates the continued commitment of its investors to the long-term success of the company.”
Tailored Brands president and CEO Dinesh Lathi, said: “This additional financing further ensures we can continue to keep pace with our plans to come out of the pandemic stronger than ever and strategically positioned to help our customers look and feel their best in the moments that matter. We are grateful to our shareholders and lenders for their continued support and confidence as we continue to execute our strategic plan.”
Lathi also noted that the company was currently experiencing solid momentum across all of its brands. Its next key strategic priorities, include enhancing its omni-channel experience, launching its Men’s Wearhouse Next-Gen stores, and evolving its merchandise assortment.
Still the Houston, Texas-based retailer, was already struggling with increased competition and a shift to online shopping before the pandemic with plans to cut its corporate workforce by 20 percent and shut as many as 500 stores.
The parent company of Men’s Wearhouse, Jos.A Bank and Moores men’s stores in the U.S. and Canada filed for Chapter 11 bankruptcy protection back in August, and emerged from it in November.
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