DGAP-Adhoc: TOM TAILOR Holding SE: Tom Tailor GmbH receives guarantee commitment for EUR 100 million loan; extension of syndicated financing agreed in principle; TOM TAILOR Holding SE files for insolvency; Bonita GmbH applies for protective shield pr
DGAP-Ad-hoc: TOM TAILOR Holding SE / Key word(s): Miscellaneous
TOM TAILOR Holding SE: Tom Tailor GmbH receives guarantee commitment for EUR 100 million loan; extension of syndicated financing agreed in principle; TOM TAILOR Holding SE files for insolvency; Bonita GmbH applies for protective shield proceedings
08-Jun-2020 / 17:53 CET/CEST
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AD HOC RELEASE
TOM TAILOR Holding SE: Tom Tailor GmbH receives guarantee commitment for EUR 100 million loan; extension of syndicated financing agreed in principle; TOM TAILOR Holding SE files for insolvency; Bonita GmbH applies for protective shield proceedings
Hamburg, 8 June 2020. The German federal government, together with federal states of Hamburg and North Rhine-Westphalia, today promised Tom Tailor GmbH a government guarantee ("Bund-Länder-Bürgschaft") for an operating loan of EUR 100 million for the Tom Tailor subgroup. The guarantee-backed financing has a term until the end of September 2024. The consortium of banks has also agreed in principle to extend all existing credit lines with an adjusted volume of EUR 355 million until 30 September 2024 for the Tom Tailor subgroup based on largely unchanged conditions. Furthermore, the majority shareholder of TOM TAILOR Holding SE, Fosun International Limited, has agreed in principle to extend the term of the EUR 28.5 million loan granted to Tom Tailor GmbH until 31 December 2024. The signing of a binding term sheet is still subject to board approvals from individual banks, which is expected to be granted tomorrow.
The guarantee commitment falls short of the amount requested by the company for the entire Group, including Bonita. The guarantors believe that Bonita GmbH does not sufficiently qualify for further funding or guarantees. As a result, no financing commitments are made for Bonita GmbH, which has insufficient liquidity to cover the outflow of funds associated with the COVID-19 pandemic. In light of this and due to its impending insolvency, Bonita GmbH will today apply for the opening of Chapter 11-like protective shield proceedings under its own administration. The insolvency of TOM TAILOR Holding SE is also inevitable due to its intragroup obligations towards Bonita GmbH. The Management Board of the company has therefore decided to file for insolvency with the competent Hamburg Local Court. Tom Tailor GmbH remains unaffected by the insolvency/protective shield proceedings and can continue its operating business unchanged, in particular based on using the promised funds.
Notifying person: Marc Gorbauch, General Counsel
Contact for investors and media
TOM TAILOR Group
E-mail: tom.tailor@silvestergroup.com
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1065463 08-Jun-2020 CET/CEST