Canada’s Linen Chest secures a $35 million credit facility
Linen Chest, the Bed Bath & Beyond of Canada, has received a $35 million revolving credit facility from Gordon Brothers to shore up its liquidity and support future growth.
Linen Chest, which was started by Sylvia Leibner in 1961 and remains owned by her sons Sheldon and Stanley Leibner, maintains 30-plus stores in in Ontario, Quebec, and the Maritime Provinces of Canada.
Categories served by Linen Chest include bedding, bath, home décor, windows, rugs, lighting, and blinds.
“As a family-owned business, Linen Chest values partnerships with firms like Gordon Brothers who understand our history in the market and support our long-term vision,” said Linen Chest CEO Sheldon Liebner. “The firm’s solution provides us with the resources and flexibility needed to continue delivering value to our customers across Canada.”
During holiday season 2024, Linen Chest joined the Walmart Canada marketplace to expand growth of its online sales.
Sylvia Leibner was working in her husband’s textile importing business when she used family savings to open the first Linen Chest — a 500-sq.-ft. boutique on Queen Mary Road in Montreal in 1961.
One of the first stores in the city to import percale sheets and new styles of quilted bedspreads, Linen Chest soon became a popular shopping destination and expanded into custom window treatments, table cloths, and bath accessories.
Today’s Linen Chest stores average around 15,000 sq. ft.
“Having grown and expanded our network in Canada and our support of proud Canadian retailers like Linen Chest, our financing will not only increase the company’s liquidity, but our deep asset expertise, retail background and additional service offerings will improve overall efficiency,” said Kyle Shonak, chief transaction officer at Gordon Brothers.
Gordon Brothers partners with management teams, private equity sponsors, strategic buyers and asset-based lenders globally to provide its expertise and additional capital in special situations. The firm’s tailor-made solutions coexist with traditional debt and equity, and its structures complement senior asset-based lending facilities with credit and yield enhancements.
