Ted Baker has secured an extension to its revolving credit facility (RCF) with its existing lending syndicate and has delayed the publication of its full-year results as a result of “disruption caused by Covid on the audit processes”.
The new financing agreement extends the premium fashion and lifestyle retailer’s revolving credit facility maturity to November 2023 and amends the covenants. As a result of the agreement combined with Ted Baker’s strong net cash position of £66.7m at the end of the financial year 30 January 2021, the company says it has the necessary cash and liquidity to continue the successful delivery of its transformation plan.
Under the new agreement, the existing RCF of £108m maturing in September 2022 and restricted RCF of £25m maturing in January 2022, will be replaced by a new RCF of £90m reducing to £80m in January 2022 until maturity in November 2023.
The amended revolving credit facility includes, among other changes, amendments to the adjusted EBITDA covenant tests, providing further financial flexibility.
Its results for the year to 30 January 2021 has been due to be published on 27 May but the company has said this will now take place on 10 June. The new date was determined following discussions with its auditor BDO.
The delay has been attributed to the disruption the Covid crisis has had on the auditing process, however the company has said the results will be “in line with consensus expectations”.