Card Factory (LSE:CARD) said it agreed new terms for a refinancing with its existing banking syndicate after successfully using its "positive cash flow" to reduce debt.
The greeting cards retailer also told investors it does not intend to raise equity.
Under the deal, Card Factory (LSE:CARD) revised terms on reduced facilities of £150mln, down from £225mln previously.
As of March 31, 2022, the group's net debt (excluding lease liabilities) was £79mln.
Card Factory (LSE:CARD) also said it removed the best efforts commitment it made to its banks, to raise net equity proceeds of £70mln by July 30, 2022.
"I am pleased to be able to announce the successful completion of Card Factory (LSE:CARD)'s refinancing today. This is an important milestone for our business, ensuring we have the financial foundations in place to capitalise on the opportunities ahead," said Darcy Willson-Rymer, chief executive.
The revised facilities comprise a £100mln revolving credit facility (RCF), on the same terms as the previous RCF and available until September 2025.
A £11.25mln term loan facility is to be repaid between January 31, 2023 and January 31, 2024, while a £18.75mln term loan facility is to be repaid in six quarterly instalments of £1.75mln from April 2024. A final bullet repayment will be made in September 2025.
The company said it will repay the £20mln Coronavirus large business interruption loan scheme (CLBILS) by September 2023, and will reduce its loan to £20mln from the original £50mln.