Sleep Country refinances
By Furniture Today Staff -- Furniture Today, July 4, 2005
Toronto — Bedding specialty chain Sleep Country Canada said last week it had issued C$40 million in senior secured, five-year notes at 5.191% interest to refinance bank debt and for general corporate purposes.
The notes, issued in a private placement to Canadian institutional investors, will pay off a C$35.6 million bank loan that was due next year. CIBC World Markets acted as agent for the placement.
"We are refinancing earlier than necessary to lock in an attractive fixed interest rate," said Stephen Gunn, Sleep Country chairman and CEO. "This provides Sleep Country with additional interest expense stability through the end of the decade."
The company also said it has bumped up its revolving bank facility with the Canadian Imperial Bank of Commerce to C$5 million from C$3 million. The company has not yet drawn on the credit line.
