old

The group behind the Habitat retail fascia outside the United Kingdom has refinanced and plans to use the cash to support its global expansion of the heritage British brand.


France-based Cafom group has agreed a €28m package with a banking syndicate comprising Bred Banque Populaire, Crédit Mutuel Arkéa, Société Générale and investment firm BPI France.


The deal comprises five-year term loan of €12.1m — which refinances secured debt agreed back in 2012 — along with a further influx of €14m to be received in two tranches, of €8m this month and a further €6m in March 2016.


Investment group BPI France — which backs growing French enterprises — is also providing a €2m seven-year term loan.


Cafom said the cash would be primarily used to expand its Habitat business, which currently represents around a third of the retail and distribution group’s total sales.


Last month, Cafom said total sales in the first nine months of its 2014–15 financial year were up 6.5 per cent to €293.3m, buoyed by 13 per cent growth to €61.2m for its ecommerce arm and 11 per cent growth to €129.6m for its wholesale businesses. Of the total, Habitat sales were down 1.4 per cent to €102.5m.