E-mail us: service@prospectnews.com Or call: 212 374 2800
Bank Loans - CLOs - Convertibles - Distressed Debt - Emerging Markets
Green Finance - High Yield - Investment Grade - Liability Management
Preferreds - Private Placements - Structured Products
 
Published on 3/9/2015 in the Prospect News High Yield Daily and Prospect News Liability Management Daily.

Constantia announces change-of-control put option, expected redemption

By Angela McDaniels

Tacoma, Wash., March 9 – Constantia Flexibles Group GmbH expects its fixed-rate senior bonds due 2017 to become putable and to call its fixed-and-floating-rate deeply subordinated 2013 hybrid bonds, according to a company news release.

The company expects a change of control to occur around the end of March or in April when it is acquired by an acquisition company ultimately controlled by Wendel, which will trigger the change-of-control put option for the senior bonds.

The company plans to redeem the hybrid bonds as early as possible after the change of control.

As part of the acquisition, the company plans to implement a new financing structure that would also include the repayment of most of its currently outstanding bank loans and the granting of security over most of its assets. This would leave any remaining creditors of Constantia Flexibles, including in particular the holders of the fixed-rate senior bonds due 2017, structurally subordinated to the creditors of the acquisition company.

Constantia Flexibles is a Vienna-based manufacturer of flexible packaging products and labels.


© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.