Linklaters advises Tendam on the issuance of €300m senior secured floating rate notes and a €130.9m term loan, together with a €174.2m revolving credit facility, the last two sustainability-linked facilities

Linklaters has advised Spanish fashion retailer, Tendam, on the issuance of €300m senior secured floating rate notes, due 2028, and a sustainability-linked facilities agreement, comprising a term loan of €130.9m and a revolving facility of €174.2m.

This is part of Tendam reducing its indebtedness by 19.3%, putting it at a competitive advantage to further accelerate its growth plans.

The terms of the sustainability-linked financing, which is the first of its kind for Tendam, are tied to lowering greenhouse gas emissions and increasing the weight of sustainable products in the company’s collections. By the end of 2021, Tendam had already delivered 30% more sustainable garments, bringing forward its target of aiming for 45% of its products to be more sustainable by the end of 2022.

Tendam, which is controlled by CVC and PAI Partners, is one of Europe’s leading groups in the industry of specialised fashion, backed by its track record, experience, and growth during its 140 years of history.

This is one of the few high yield deals in the market in the second half of this year, highlighting Tendam strength and the Linklaters’ depth of experience in such transactions, as well as in sustainability-linked financing products.

Linklaters’ cross-jurisdictional and cross-practice team was led by partner Mark Hageman and US associate Adriana Perez Cavazos on the New York law high yield issuance (both London) and Global Co-Head of Banking Ben Crosse and counsel Begoña Martínez on the English law term and revolving facilities (both Madrid).

Linklaters has advised Tendam on its financing arrangements since it was taken private in 2005.