Birks Group (NYSE: BGI) refinances loans and extends credit facilities to 2031
Rhea-AI Filing Summary
Birks Group Inc. has completed a comprehensive refinancing of its debt facilities to strengthen liquidity and extend maturities. The company closed a new five-year $32.5 million senior secured term loan with an affiliate of Gordon Brothers, maturing in June 2031, which refinances and fully repays its prior $26 million term loan.
At the same time, Birks amended and extended its senior secured revolving credit facility with Wells Fargo, increasing total commitments to $93 million and pushing the maturity to June 2031. The term loan bears interest at Term CORRA plus 6.75%–7.75%, while the revolver is priced at Term CORRA or SOFR plus margins ranging from 2.00%–2.5% or 1.625%–2.125% for U.S. dollar drawings.
Birks also extended a $3.75 million shareholder loan from Mangrove Holding S.A. to June 2031, at 12.2% interest effective August 1, 2026, with annual principal payments of $250,000 starting in June 2028 and a final $3.0 million repayment shortly before maturity. Management highlights that these steps are intended to increase liquidity, enhance financial flexibility and support investments in store renovations, omni-channel capabilities, digital commerce and working capital.
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Insights
Birks extends debt maturities to 2031 while modestly upsized facilities support liquidity.
Birks Group has refinanced its capital structure around a new $32.5 million senior secured term loan and an amended $93 million revolving credit facility, both maturing in June 2031. This replaces a smaller $26 million term loan and slightly increases revolver capacity.
The term loan’s pricing of Term CORRA plus 6.75%–7.75% and the revolver’s Term CORRA/SOFR-based spreads reflect secured, non-investment-grade risk but provide committed funding. Extending the $3.75 million Mangrove shareholder loan to 2031 at 12.2% preserves related-party support, albeit at a higher cost of capital.
Management links the financing to store renovations, omni-channel and digital investments, suggesting funds underpin the existing growth strategy rather than new initiatives. Future filings may show how leverage, interest expense and cash flows evolve as these facilities amortize from 2028 onward and approach their 2031 maturities.
Key Figures
Key Terms
senior secured term loan facility financial
revolving credit facility financial
Term CORRA financial
SOFR financial
fixed charge coverage ratio financial
forward-looking statements regulatory
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 or 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of June, 2026
Commission file number: 001-32635
BIRKS GROUP INC.
(Translation of Registrant’s name into English)
2020 Robert Bourassa
Suite 200
Montreal, Québec
Canada
H3A 2A5
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
☒ Form 20-F ☐ Form 40-F
CONTENTS
The following documents of the Registrant are submitted herewith:
| 99.1. | Press release dated June 5, 2026 |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| BIRKS GROUP INC. | ||||||
| (Registrant) | ||||||
| By: | /s/ Aldo Battista | |||||
| Date: June 5, 2026 | Vice President and Chief Financial Officer | |||||
EXHIBIT 99.1
| Company Contact: Aldo Battista Vice President and Chief Financial Officer (514) 397-2592
For all press and media inquiries, please contact:
Press@birks.com |
BIRKS GROUP ANNOUNCES THE CLOSING OF A NEW TERM LOAN FACILITY WITH
GORDON BROTHERS REPLACING ITS FORMER TERM LOAN FACILITY AND THE
EXTENSION OF ITS REVOLVER FACILITY WITH WELLS FARGO
All figures presented herein are in Canadian dollars, unless indicated otherwise.
Montreal, Quebec – June 5, 2026 – Birks Group Inc. (“Birks Group” or the “Company”) (NYSE American LLC: BGI) announced today the signing of a five-year $32.5 million senior secured term loan facility (“Term Loan”) with 1903P Loan Agent, LLC, an affiliate of Gordon Brothers Group (“Gordon Brothers”) and the designated administrative agent under the facility. The new Term Loan, which matures in June 2031, refinances the Company’s existing $26 million senior secured term loan credit facility which has been repaid in full. Contemporaneously with the closing of the Term Loan with Gordon Brothers, the Company entered into an amendment and extension of its senior secured revolving credit facility (“Revolver Facility”) with Wells Fargo Canada Corporation (“Wells Fargo”), extending the maturity date until June 2031 and providing for total commitments of $93 million, an increase of $3 million. The new and amended financing provides the Company with increased liquidity, enhanced financial flexibility and extended debt maturities, while continuing to support the execution of its strategic initiatives, including investments in store renovations, omni-channel capabilities, digital commerce initiatives and working capital requirements.
The $32.5 million Term Loan, decreasing to $30.0 million in December 2027, bears interest at a rate equal to Term CORRA (with an interest rate floor), plus a range from 6.75% to 7.75%, based on the Company’s fixed charge coverage ratio throughout the term of the Term Loan. The Revolver Facility bears interest at a rate equal to Term CORRA or SOFR, as applicable, plus a range from 2.00% to 2.5% or 1.625% to 2.125% for drawings in U.S. dollars, based on the borrowing capacity of the Company throughout the term of the Revolver Facility.
Concurrently with the closing of the new and amended facilities, the Company and Mangrove Holding S.A. (“Mangrove”), one of the Company’s controlling shareholders, have signed an amendment to the existing $3.75 million loan agreement entered into in July 2025 extending the maturity date until June 2031 (“Mangrove Loan”). Going forward, the Mangrove Loan will bear interest at a rate of 12.2% effective August 1, 2026, and will be repaid through annual principal payments of $250,000 over a period of three years, commencing in June 2028, with a final repayment of $3.0 million within a period of thirty (30) days prior to the June 2031 maturity date.
Niccolò Rossi di Montelera, Executive Chairman of the Board & Interim Chief Executive Officer of Birks Group, commented: “We are pleased to complete the refinancing of our term loan with Gordon Brothers and an extension of our revolver with Wells Fargo. These new five-year credit facilities extend our debt maturities and provide us with increased financial flexibility as we continue to implement development strategies to generate sales growth and focus on driving profitable growth.”
“We are proud to support Birks Group, one of Canada’s most iconic luxury brands,” said Chad Simon, Senior Managing Director, Transactions at Gordon Brothers. “Our deep expertise in the luxury retail sector and long-standing relationship with the Company allowed us to provide a financing solution that delivers unmatched liquidity and flexibility to support Birks Group’s operations and long-term growth.”
Peter Foley, Director at Well Fargo Capital Finance commented, “We are pleased to have renewed our ABL financing with Birks Group for an additional five-year term. Our financing is designed to maintain the financial flexibility that the Company needs to pursue its growth strategy.”
About Birks Group Inc.
Birks Group is a leading designer of fine jewelry, and an operator of luxury jewelry, timepieces and gifts retail stores in Canada. The Company currently operates 32 store locations, including: 17 store locations under the Maison Birks brand in most major metropolitan markets in Canada, one retail location in Montreal under the Birks brand, one retail location in Montreal under the TimeVallée brand, one retail location in Calgary under the Brinkhaus brand, one retail location in Vancouver under the Patek Philippe brand, one retail location in Vancouver under the Chaumet brand, four retail locations in Laval, Ottawa and Toronto under the Breitling brand, one retail location in Toronto under the Omega brand, one retail location in Toronto under the Montblanc brand, and four retail locations in the Greater Toronto Area under the European Boutique brand. Birks was founded in 1879 and has become Canada’s premier designer and retailer of fine jewelry, timepieces and gifts. Additional information can be found on Birks’ website, www.birksgroup.com .
About Gordon Brothers
Founded in 1903, Gordon Brothers delivers integrated solutions through its asset advisory services, lending and financing, and trading. With deep expertise in brands, industrial, retail and real estate, Gordon Brothers is the original global asset expert, working across business growth stages to deliver liquidity, create security, enable growth and maximize asset value. Gordon Brothers is headquartered in Boston with more than 30 offices across North America, Europe, the Middle East, Africa and Asia Pacific.
Forward Looking Statements
This press release contains forward-looking statements regarding, among other things, the use of proceeds of the Term Loan and Revolver Facility. Forward looking statements can be identified, for example, by their use of words such as: “plans,” “expects,” “believes,” “will,” “anticipates,” “intends,” “projects,” “estimates,” “could,” “would,” “may,” “planned,” “goal,” and other words of similar meaning. All statements that address expectations, possibilities or projections about the future, including without limitation, statements about anticipated economic conditions, availability under our Term Loan and Revolver Facility, anticipated distribution of profits, and our strategies for growth, expansion plans, sources or adequacy of capital, expenditures and financial results are forward-looking statements.
Because such statements include various risks and uncertainties, actual results might differ materially from those projected in the forward-looking statements and no assurance can be given that the Company will meet the results projected in the forward-looking statements. Accordingly, the reader should not place undue reliance on forward-looking statements. These risks and uncertainties include, but are not limited to the following: (i) heightened inflationary pressure and interest rates, a decline in consumer discretionary spending, increased cost of borrowing or deterioration in consumer financial position; (ii) the Company’s ability to maintain its listing on the NYSE American or to list its securities on another national securities exchange, (iii) economic, political and market conditions, including the economies of Canada and the U.S., which could adversely affect the Company’s business, operating results or financial condition, including its revenue and profitability, through the impact of changes in the real estate markets, changes in the equity markets and decreases in consumer confidence and the related changes in consumer spending patterns, and the impact on store traffic, tourism and sales, as well as the recently imposed tariffs (and retaliatory measures), possible changes therefrom and other trade restrictions; (iv) the impact of fluctuations in foreign exchange rates, increases in commodity prices and borrowing costs and their related impact on the Company’s costs and expenses; (v) the Company’s ability to maintain and obtain sufficient sources of liquidity to fund its operations, to achieve planned sales, gross margin and net income, to keep costs low, to implement its business strategy, to maintain relationships with its primary vendors, to source raw materials, to mitigate fluctuations in the availability and prices of the Company’s merchandise, to compete with other jewelers, to succeed in its marketing initiatives (including with respect to Birks branded products), and to have a successful customer service program; (vi) the Company’s plan to evaluate the productivity of existing stores, close unproductive stores and open new stores in new prime retail locations, renovate existing stores and invest in its website and e-commerce platform; (vii) the Company’s ability to execute its strategic vision; (viii) the Company’s ability to invest in and finance capital expenditures; and (ix) the Company’s ability to continue as a going concern.
Information concerning the above and other risk factors that could cause actual results to differ materially is set forth under the captions “Risk Factors” and “Operating and Financial Review and Prospects” and elsewhere in the Company’s Annual Report on Form 20-F filed with the Securities and Exchange Commission on July 25, 2025 and subsequent filings with the Securities and Exchange Commission. The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.