Benzinga | Jan 5, 2021 06:49AM EST

Sally Beauty Holdings, Inc. Announces Repayment Of Outstanding Balance Of $213M On Fixed-Rate Portion of Term Loan

Sally Beauty Holdings, Inc. (NYSE:SBH) ("the Company"), the leader in professional hair color, today announced that it has fully repaid the outstanding balance of $213 million on its 4.5% fixed-rate term loan. The repayment was funded with excess cash and reflects continued progress toward deleveraging the Company's balance sheet.

As of December 31, 2020, the Company had more than $515 million of cash on-hand and a zero balance outstanding on its asset-based revolving line of credit. Given the Company's strong liquidity position and proven ability to navigate through the COVID-19 pandemic, the Company made the strategic decision to execute an additional round of debt reduction. The Company previously reduced its debt levels by $445 million in September 2020.

"Our business has remained resilient throughout the COVID-19 pandemic. Today's debt reduction represents another positive step in our stated commitment to deleverage our balance sheet as pandemic headwinds begin to abate and the need for excess liquidity diminishes," said Marlo Cormier, chief financial officer.