Francesca's plans to put some IPO proceeds towards facility repayment

By Jennifer Chiou

New York, April 19 - Francesca's Holdings Corp. announced its intention to apply a portion of the proceeds from its planned $150 million initial public offering, along with a draw under a new revolving credit facility, towards the full repayment of its existing senior secured credit facility, according to an S-1 filing with the Securities and Exchange Commission.

Specifically, the company plans to use $41.4 million of the net IPO proceeds along with a $50 million revolver draw to pay down the existing facility, which consists of a $95 million term loan and a $5 million revolver.

The existing facility has a maturity date of Nov. 17, 2013, and as of Jan. 29, $93.8 million was outstanding under the term loan.

Any remaining proceeds will be used for working capital and other general corporate purposes.

Based in Houston, Francesca's is a specialty retailer catering to young females.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.