Panache

Introduction

For decades, women around the world have turned to Panache’s lingerie to look and feel their best. When the family-owned U.K.-based manufacturer decided to branch out beyond their wildly popular lingerie, they received rave reviews for their swimwear and sports bras.

Challenge

Panache had a solid footprint in the U.K. and Europe, but development capital was required for their expansion into the U.S. and Canada. In particular, Panache needed flexible financing that could be accessed internationally.

Panache was funded by Barclays in the U.K. and was utilizing a portion of the funds to fund the global operations. After spending almost a year seeking local providers in the U.S., Barclays recommended that Panache talk to FGI.

Solution

Traditional factoring, offered by other global banks, would not work for Panache because of the reporting requirements and the need to manage the facility from the U.K. FGI recognized that, and crafted an evolving, asset-based lending solution. As a result, Panache could leverage the receivables and inventory they had in North America, with credit increasing with sales.

Results

FGI’s financing struck the perfect balance for Panache: liquidity and sensible leverage. That meant Panache’s capital would keep pace with the company’s remarkable growth without putting any pressure on the company’s current facility with Barclays.

Looking ahead, Panache is looking to expand the facility in other markets such as Germany and Australia.