Subsequent Events

6 Months Ended

Jul. 31, 2021

Subsequent Events [Abstract]

Subsequent Events

Subsequent Events

Victoria's Secret & Co. Spin-Off

On August 2, 2021, the Separation was completed through L Brands' distribution of 100% of the shares of Victoria's Secret & Co. to holders of L Brands common stock as of the close of business on the record date of July 22, 2021. As a result of the Distribution, L Brands stockholders of record received one share of the Company's common stock for every three shares of L Brands common stock. On August 3, 2021, Victoria’s Secret & Co. began trading as an independent, publicly traded company under the stock symbol “VSCO" on the NYSE. L Brands retained no ownership interest in the Company as of the completion of the Separation.

In connection with the Separation, the Company made an approximately $976 million cash payment to L Brands on August 2, 2021 from the proceeds of the issuances of certain debt (discussed further below). For additional information, see Note 1, "Description of Business, Basis of Presentation and Summary of Significant Accounting Policies."

Leadership Appointments

As previously announced, effective as of August 2, 2021, the Company appointed Amy Hauk as the Chief Executive Officer of PINK, Gregory Unis as Chief Executive Officer of Victoria's Secret Beauty and Dein Boyle as Chief Operating Officer of Victoria's Secret & Co. Martin Waters, Chief Executive Officer of Victoria’s Secret & Co., and Timothy Johnson, Chief Financial Officer of Victoria’s Secret & Co., who had been appointed to their respective positions effective July 16, 2021, continue to serve as Chief Executive Officer and Chief Financial Officer, respectively, upon completion of the Separation.

Proceeds from 2029 Notes

On August 2, 2021, the Company received from escrow cash proceeds of $592 million, which were net of issuance costs of $8 million, from the 2029 Notes. The Company used the net proceeds to partially fund the approximately $976 million cash payment to L Brands in connection with the Separation. For more information, see Note 9, "Long-term Debt and Borrowing Facilities."

Credit Facilities

On August 2, 2021, the Company entered into the Term Loan Facility in an aggregate principal amount of $400 million, which will mature in August 2028. On August 2, 2021, the Company also entered into a senior secured asset-based revolving credit facility. The ABL Facility allows for borrowings and letters of credit in U.S. dollars or Canadian dollars, has aggregate commitments of $750 million and an expiration date of August 2026. The ABL Facility was undrawn at the Separation.

The Company used the net cash proceeds from the credit facilities of $384 million, which were net of issuance and financing costs of $10 million for the Term Loan Facility and $6 million for the ABL Facility, to partially fund the approximately $976 million cash payment to L Brands in connection with the Separation.

For more information, see Note 9, "Long-term Debt and Borrowing Facilities."