Europac signs new debt financing facility for €253M to finance company activities over next five years, no significant debt repayments due until 2017
Kendall Sinclair
MADRID
,
February 17, 2012
(press release)
–
The Europac Group (Papeles y Cartones de Europa, SA) and twenty one financial institutions have entered into a Forward Start Facility (FSF) to the tune of €253M to finance the company’s activity over the next five years with no significant debt repayments fall due until 2017.
The Europac Group’s new debt financing will help lend stability to the company’s future plans by extending the repayment deadline from 2014 to 2017 at an interest rate which undercuts current market rates. Thereby, Europac has improved its debt maturity profile by extending its present syndicated loan to 2017.
This operation was led by Banco Popular as agent bank, and involved the participation of a further 20 financial institutions, among which Ahorro Corporación Financiera, Bankia, Barclays, HSBC, ICO and Rabobank acted as coordinating banks.
According to José Miguel Isidro, Chairman of the Europac Group, -in the context of such a difficult market as today’s, this operation is proof of the confidence that financial institutions have in the soundness of Europac’s business plan and the competence of the company’s managers-.
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