New Look acquires Greiche & Scaff
Wednesday, August 6 2014 | 00 h 00 min | News
In a major transaction for the Canadian optical industry, New Look Eyewear has acquired Greiche & Scaff for $17.75 M.
The assets and business to be acquired by New Look include 49 corporately owned stores in Quebec, including 42 in the greater Montreal region, as well as an integrated lens processing facility located in Montreal. Founded in 1976, Greiche & Scaff posted revenues of approximately $30.7 million for the fiscal year ending March 31, 2014.
New Look entered into various financing arrangements to finance the acquisition, including a $10 million increase of its senior secured debt facility with its bank syndicate and a private placement agreement for the issuance of 500,000 subscription receipts at a price of $20 per receipt with a syndicate of Canadian investment firms led by GMP Securities L.P. Each receipt will allow its owner to acquire a share of New Look on the acquisition closing date, which is expected to be on or around October 1, 2014.
“We will continue to operate the Greiche & Scaff business as a separate banner and store network within the New Look/Vogue Optical umbrella”, stated Martial Gagné, President of New Look. “We very much look forward to working with the Greiche & Scaff employees, associated optometrists and opticians and welcoming them to our group.”