Hobbs, Whistles owner TFG gets new funding package

The owner of three key UK womenswear brands — Hobbs, Whistles and Phase Eight — has clinched a £90 million refinancing package to help it grow further.

TFG London’s new deal replaces a previous £60 million debt facility and was provided by a number of UK banks. It runs for a three-year term but can be extended to five years.

The company, which acquired the three labels in the last decade, has seen improving fortunes in recent periods with its results for the year to March 2023 seeing it back in profit after it had made a small loss in the previous 12 months.

Its performance had been boosted by the post-pandemic return to physical shop[ping as well as the new stores it has opened.

And that store opening activity has continued with the company only last month announcing a new Hobbs location in Atria Watford. That’s part of a major programme for this year that takes in London’s Canary Wharf and Manchester’s Trafford too for the brand. And internationally it will open in Cork in Ireland, in Hamburg, Hong Kong and New York State’s Westchester.

In total, the group operates almost 600 points of sale for its trio of brands in 15 international markets.

Of course, such openings are costly and TFG London CFO Matt Wilson said of the new financing: “We are delighted to announce this successful transaction, marking an important milestone in our journey and placing us on a firm footing for sustainable, long-term growth. This refinancing further strengthens our balance sheet and supports us with our medium-term growth ambitions.”