The financing consists of a $900 million asset-based revolving credit facility and a $375 million first-in, last-out term loan ("FILO") facility. Wells Fargo serves as Administrative Agent and Collateral Agent for both facilities, and Pathlight Capital serves as Term Loan Managing Agent for the FILO facility.
The new five-year financing replaces Belk's existing ABL, FILO and securitization facilities. It provides the Company with a simplified capital structure and enhanced liquidity to support working capital needs, seasonal inventory investment and other general corporate purposes. The facilities are supported by a broad collateral base that includes inventory, receivables, real estate, equipment, intellectual property, and the Company's industry leading private-label credit card program.
"This opportunistic financing represents an important milestone and reflects the continued strength in Belk's business by providing us with the flexibility to continue investing in our business and serving our customers," said Vince Phelan, Chief Financial Officer. "We appreciate the support, expertise and collaborative approach demonstrated by Wells Fargo, Pathlight Capital and the broader lender group throughout the transaction."
Founded more than 138 years ago, Belk operates nearly 300 Belk, Belk Market, and Belk Outlet locations across 16 states and maintains a strong omnichannel presence through Belk.com and the Belk mobile app. The Company remains focused on providing its customers with localized merchandising, including an attractive mix of national and private brands, maintaining disciplined inventory management, and enabling convenient shopping experiences across its stores and digital channels.
"Wells Fargo is proud to expand its relationship with Belk and deliver a flexible financing solution supporting the Company's long-term objectives," said Keith Vercauteren, Division Manager and head of Wells Fargo's Corporate and Retail Asset-Based Lending platform. "We look forward to supporting the Company in its next phase."
"We are pleased to partner with Belk and Wells Fargo on this financing," said Matt Williams, Managing Director at Pathlight Capital. "The transaction provides Belk with additional liquidity and flexibility as the Company continues to invest in its business and execute on its strategic priorities."
About Belk
Charlotte-based Belk, Inc., a privately-owned department store, opened its first store in 1888, beginning a legacy of selling great products at great prices, treating customers like family, and giving back to the community. Today, Belk serves customers at nearly 300 Belk, Belk Market and Belk Outlet locations across 16 Southeastern states, and digitally through belk.com and the Belk mobile app. For 138 years, Belk has proudly put customers and community at the center of what they do, supporting local charities, organizations, and families when they need it most. For more information visit https://newsroom.belk.com/.
To shop, find your local store at https://www.belk.com/stores/, visit belk.com or download the Belk app in Google Play or Apple Store.
About Pathlight Capital
Pathlight Capital is a private credit investment manager dedicated to meeting the needs of companies that operate across a broad range of industries by providing asset-based loans secured on a first or second lien basis against tangible and intangible assets. Pathlight aims to provide creative financing solutions to allow management teams to access incremental liquidity for the purposes of funding working capital, debt refinancings, growth, acquisitions, dividends and turnaround strategies. For more information, please visit www.pathlightcapital.com.
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a leading financial services company that has approximately $2.3 trillion in assets. We provide a diversified set of banking, investment and mortgage products and services, as well as consumer and commercial finance, through our four reportable operating segments: Consumer Banking and Lending, Commercial Banking, Corporate and Investment Banking, and Wealth & Investment Management. Wells Fargo ranked No. 38 on Fortune's 2026 rankings of America's largest corporations. News, insights, and perspectives from Wells Fargo are also available at Wells Fargo Stories.
This release may contain statements from an individual who may be supporting or recommending the activities of Pathlight Capital LP. Such individual has not been compensated directly or indirectly by Pathlight Capital LP for the use of his statements. The statements represent endorsement by that individual only and may not represent the experience of all counterparties.
SOURCE Pathlight Capital
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