Upmarket clothing and footwear retailer LK Bennett has secured a new £16m credit facility from Lloyds Banking Group which it will use to accelerate international expansion, including the US.
The retailer opened its first US-based store in Chicago in April 2011 and since then has gone on to open a further four-directly operated stores in America.
All five of its US stores are said to have traded ahead of expectations and the retailer will now look to accelerate its development in the country as well as in other international markets including France, Spain, the Netherlands and the Middle East.
This five-year funding facility of £16m replaces the facility put in place at the time of the acquisition of LK Bennett in 2008 by Phoenix Equity Partners and Sirius Equity, and increases the Company’s available liquidity at a reduced interest cost.
“We are pleased with the outcome of this competitive process which has provided us with more money at less cost and for the confidence Lloyds Bank has shown in the business,” said LK Bennett chairman Robert Bensoussan.
“We continue to focus on rolling out LK Bennett into new markets, as well as pursuing selected opportunities for growth in the UK.”
Sales at the retailer, favoured by Kate Middleton, for the full-year to 2012 are expected to be around 10% ahead of last year and profitability is also expected to increase.
LK Bennett operates 156 outlets worldwide, of which 107 are based in the UK.