Takko Fashion raises funds to reduce debt, expand presence

European fashion discounter Takko Fashion has entered into an agreement with funds advised by Apax, its bondholders and banks to secure a new, right sized capital structure.

The company expects this action to substantially reduce debt resulting in a strengthened financial profile and extend the debt maturity, enabling Takko Fashion to continue to successfully execute on its growth strategy.

Commenting on the development, Tjeerd Jegen, CEO of Takko Fashion said in a release: “Takko Fashion’s discount model has again and again proven its strength, resilience, and potential and I would like to thank Apax for their support over the past few years. Through the improved debt position and new capital structure we will be able to invest in the future of the company and accelerate our efforts to deliver on our strategic priorities.”

With stores in 17 countries, Takko Fashion plans to expand its presence across Europe, including through new store openings as well as the extension of the online shop. In addition, Takko Fashion will focus on its digital transformation journey to enable enhanced processes and an improved customer experience.

Takko Fashion was advised by PJT Partners, Gleiss Lutz and Simpson Thacher & Bartlett LLP.