TAILORED BRANDS SECURES $75 MILLION IN NEW FINANCING

Tailored Brands said on Monday that it has secured a $75 million investment by a group of existing shareholders and lenders to bolster its strategic plans having just emerged from Chapter 11 bankruptcy in December 2020.

The financing consists of $50 million of mandatorily convertible notes and $25 million in additional senior secured debt. This transaction aims to 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.

“We are seeing solid momentum across all of our brands and continue to advance key strategic priorities, including enhancing our omnichannel experience, launching our Men’s Wearhouse Next-Gen stores, and evolving our merchandise assortment via new and expanding partnerships with Michael Strahan, Vera Wang, and Alternative Apparel,” said Dinesh Lathi, president and chief executive officer at Tailored Brands. “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.”

Tailored Brands emerged from bankruptcy protection late last year following a financial restructuring process that helped the U.S. men’s fashion retailer eliminate $686 million of debt from its balance sheet.

The company, which owns Men’s Wearhouse, Jos. A. Bank, Moores Clothing for Men, and K&G Fashion Superstore, filed for Chapter 11 bankruptcy in August, joining a list of brick-and-mortar retailers succumbing to the hit from the COVID-19 pandemic.