Groupe Les Ailes de la Mode Inc.
TSX : MOD

Groupe Les Ailes de la Mode Inc.

June 03, 2005 16:15 ET

Groupe Les Ailes de la Mode Completes C$3.2-Million Financing

BOUCHERVILLE, QUEBEC--(CCNMatthews - June 3, 2005) - Groupe Les Ailes de la Mode Inc. (TSX:MOD) ("Groupe") announces that is has successfully closed a $3.2 million financing with the investors involved in its August 2004 restructuring, including a significant investment by SIPAR Inc

Groupe has issued $1.7 million principal amount of 8% secured subordinated debentures to which are attached 1.7 million share purchase warrants by way of a private placement. The Debentures have an 18 month term and the interest will be paid monthly. Each share purchase warrant is exercisable for one common share of Groupe at a price of $0.27 per share during the same period.

Groupe has also secured a $1.5 million loan carrying a 10% interest from another party included in the same group of investors. The loan is guaranteed by a 2nd mortgage on Groupe's head office premises and is repayable in two equal instalments on December 1, 2005, and January 10, 2006.

Groupe is continuing to review other financial and operating measures to meet its longer-term financial needs and its strategic goals.

Groupe Les Ailes de la Mode Inc. is a retailer specializing in men's and women's clothing and related products. It operates two divisions: Les Ailes de la Mode, with stores in Brossard, Laval, Quebec City and Montreal, and the Bikini Village division, which operates 58 swimwear boutiques in Quebec and Ontario. Groupe employs 1,300 people.

Contact Information

  • Source:
    Groupe Les Ailes de la Mode Inc.
    or
    Information:
    Roch Landriault
    (514) 843-2345