NEW YORK--(EON: Enhanced Online News)--CIT Group Inc. (NYSE:CIT) cit.com, a leading provider of financing and advisory services to small businesses and middle market companies, today announced that CIT Capital Markets served as lead arranger in a $110 million financing for Joe’s Jeans Inc. (NASDAQ:JOEZ), a casual, chic lifestyle brand offering a unique interpretation on classic, modernized wardrobe staples such as premium denim, to finance the acquisition of Hudson Clothing Holdings, Inc., a leading global designer and marketer of women’s and men’s premium branded denim apparel.
“We’re excited by this union as our combined operations will build upon each other’s strengths. CIT’s ability to roll up their sleeves, coupled with their deep industry expertise in retail and apparel as well as industry-leading client service continues to distinguish CIT from its competition.”
CIT Capital Markets served as Lead Arranger and Bookrunner for the transaction, which consisted of a $50 million senior secured revolving credit facility and a $60 million term loan. CIT Trade Finance will serve as the Administrative Agent and lender for the revolver and will also provide factoring services to the combined companies. Terms of the transaction were not disclosed.
“Joe’s Jeans and Hudson are firmly established brands in the premium denim industry that had established comprehensive factoring and financing relationships with CIT that provided for accounts receivable and inventory financing,” said Jon Lucas, President of CIT Trade Finance. “We’re pleased both companies recognized our deep expertise and gave us the opportunity to arrange financing that supports this transaction.”
Marc Crossman, President and CEO of Joe’s Jeans Inc., said, “Hudson is an American premium brand that presents numerous opportunities to our newly combined entity. Although each company will remain distinctly separate in terms of design and brand, the combination of our two organizations will realize additional benefits through increased purchasing authority with current and future vendors and production cost savings.”
Peter Kim, CEO of Hudson Clothing Holdings, Inc., said, “We’re excited by this union as our combined operations will build upon each other’s strengths. CIT’s ability to roll up their sleeves, coupled with their deep industry expertise in retail and apparel as well as industry-leading client service continues to distinguish CIT from its competition.”
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About Joe’s Jeans Inc.
Joe's Jeans is a casual, chic lifestyle brand offering a unique interpretation on classic, modernized wardrobe staples encompassing a versatile range of timeless styles from premium denim and luxe collection pieces to contemporary accessories and footwear. With over a decade in fashion, Joe's® has remained true to their DNA throughout their expansion, embracing fashion innovation in the creation of a full faceted line for Men, Women and Kids. Joe’s® is available coast to coast in the USA and internationally throughout Europe, Asia, Canada, Latin America and the Middle East. joesjeans.com
About Hudson Clothing Holdings, Inc.
Hudson Clothing, a wholly owned subsidiary of Joe’s Jeans, is a leading global designer and marketer of women’s and men’s premium branded denim apparel. Hudson’s products include a core denim line as well as non-denim tops and bottoms. As a global fashion brand, Hudson continuously innovates within its product line, introducing new styles, washes, cuts, fabrics and colors, all designed under the premise of one superior fit. Hudson’s products are available at department stores and selective boutique and specialty stores around the country, as well as premier retailers in over 30 countries around the world. hudsonjeans.com
About CIT Trade Finance
CIT Trade Finance is a leading provider of factoring services in the United States for companies that sell into retail channels of distribution. It provides accounts receivable factoring, trade credit protection, accounts receivable management and asset-based lending to manufacturers and importers. cit.com/tradefinance
Founded in 1908, CIT (NYSE:CIT) is a bank holding company with more than $35 billion in financing and leasing assets. It provides financing and leasing capital and advisory services to its clients and their customers across more than 30 industries. CIT maintains leadership positions in small business and middle market lending, factoring, retail finance, aerospace, equipment and rail leasing, and vendor finance. CIT operates CIT Bank (Member FDIC), its primary bank subsidiary, which, through its online bank BankOnCIT.com, offers a suite of savings options designed to help customers achieve a range of financial goals. cit.com