Aurum Group USA has closed the $108m acquisition of Birks subsidiary Mayor’s Jewelers.
An agreement in connection with the acquisition was signed between Aurum Holdings and Birks in August.
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The sale allows Birks to shift its focus to Birks Brand Fine Jewelry Collections, which were launched at Mappin & Webb and Goldsmiths stores in the UK earlier this month.
Birks Group president and CEO Jean-Christophe Bédos said: “The completion of this transaction positions Birks on the right path for future growth.
“We believe it will accelerate the transformation of Birks into an international omnichannel business poised to achieve its growth objectives.
“Furthermore, the successful launch of the Birks jewellery brand in the UK on 9 October 2017 was a significant step towards our goal of becoming a globally renowned luxury brand.”
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By GlobalDataBirks used the proceeds from the sale to clear most of its outstanding debt, including term debt and working capital debt.
Alongside the closure of the transaction, the company secured a new credit facility with Wells Fargo for up to C$85m ($67.15m).
The initiatives are expected to provide financial flexibility and funds to the company to execute the next phase of its strategic plan.
Under the plan, the company intends to undertake the renovation of its Canadian flagship stores, new store concepts and omnichannel areas such as e-commerce and wholesale activities related to the Birks jewellery brand collections.
