True Religion Apparel Inc and its subsidiary Guru Denim Inc have signed an accounts receivable financing agreement with financial services company Merchant Factors Corp.

According to the terms of the deal, Merchant factors will credit approve, purchase and collect all suitable Guru Denim invoiced receivables.

Merchant Factors will also provide cash advances to Guru Denim that will equal 85 per cent of the amount of all approved sales invoices submitted.

True Religion Apparel Inc, through its wholly owned subsidiary Guru Denim Inc, manufactures, markets, distributes and sells True Religion jeanswear in the US, Canada, the UK, Europe, Australia and Japan.