Billabong said it completed the sale of DaKine to Altamount Partners. It also finalized its deal to refinance its debt through Altamont Consortium and GSO Capital Partners.
Bridge Facility
As announced on July 16, Billabong entered into binding documentation with the Altamont Consortium in relation to a US$294 million (A$325 mm) bridge loan facility (“Bridge Facility”). The Bridge Facility incurs interest of 12.0 percent per annum and matures on Dec. 31, 2013. Drawdown under the Bridge Facility occurred last Friday and all principal, accrued interest and commitment fees outstanding under Billabong's syndicated debt facilities have now been repaid.
DaKine Sale
Concurrent with signing the Bridge Facility, the company entered into binding documentation regarding the sale of DaKine to Altamont for a purchase price of A$70m (“Asset Sale”). The Asset Sale was completed after satisfaction of the applicable closing conditions.
Appointment of Altamont Directors
As announced on July 16, to reflect its significant investment in the company, Altamont has nominated two directors to the Board of Billabong. The two nominees were Jesse Rogers and Keoni Schwartz, each of whom has now been appointed as an additional director. Rogers and Schwartz will be put forward for election at the next annual general meeting of the company.
