Latest news with #debtrestructuring
National Post
3 hours ago
- Business
- National Post
Compass Minerals Announces Pricing of $650 Million Senior Notes due 2030 and Partial Redemption of Senior Notes due 2027
Article content OVERLAND PARK, Kan. — Compass Minerals International, Inc. (NYSE: CMP) ('Compass Minerals' or the 'Company') has priced an offering of $650 million aggregate principal amount of 8.000% senior notes due 2030 (the 'Notes') in a private offering. The sale of the Notes is expected to be completed on or about June 16, 2025, subject to customary closing conditions. The Notes will be senior unsecured obligations of Compass Minerals and will be guaranteed by certain of its domestic subsidiaries. Article content Compass Minerals intends to use the net proceeds from this offering (i) to repay all outstanding amounts under its senior secured credit facility, (ii) to redeem $350 million of its outstanding 6.750% senior notes due 2027 (the '2027 Notes'), (iii) to pay transaction-related fees and expenses, (iv) for additional cash on its balance sheet and (v) for general corporate purposes. Article content The Notes and related guarantees will not be registered under the Securities Act of 1933, as amended (the 'Securities Act'), or any state securities laws and, unless so registered, may not be offered or sold in the United States except pursuant to an applicable exemption from the registration requirements of the Securities Act and applicable state securities laws. The Notes will be offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act and to persons other than 'U.S. persons' in compliance with Regulation S under the Securities Act. Article content In addition, as discussed above, Compass Minerals announced today that it will redeem $350 million aggregate principal amount of its 2027 Notes (the 'Redemption'). Article content The redemption date for the 2027 Notes is June 17, 2025 (the 'Redemption Date'). The 2027 Notes will be redeemed on the Redemption Date at a redemption price equal to 101.125% of the principal amount being redeemed and any accrued and unpaid interest, if any, up to, but excluding, the Redemption Date, in accordance with the terms of the 2027 Notes and the applicable indenture governing such 2027 Notes. After the Redemption Date, interest on each 2027 Note to be redeemed will cease to accrue. Upon completion of the Redemption, $150 million aggregate principal amount of the 2027 Notes will remain outstanding. Article content This press release does not and will not constitute an offer to sell or the solicitation of an offer to buy the Notes and related guarantees, nor will there be any sale of the Notes and related guarantees in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. Any offer of the Notes and related guarantees will be made only by means of a private offering memorandum. Article content A notice of redemption is being sent by the trustee for the 2027 Notes to all currently registered holders of such 2027 Notes. This press release does not constitute a notice of redemption under the indenture governing the 2027 Notes. Article content About Compass Minerals Article content Compass Minerals (NYSE: CMP) is a leading global provider of essential minerals focused on safely delivering where and when it matters to help solve nature's challenges for customers and communities. The Company's salt products help keep roadways safe during winter weather and are used in numerous other consumer, industrial, chemical and agricultural applications. Its plant nutrition products help improve the quality and yield of crops, while supporting sustainable agriculture. Compass Minerals operates 12 production and packaging facilities with nearly 1,800 employees throughout the U.S., Canada and the U.K. Article content This press release may contain forward-looking statements, including, without limitation, statements about the Company's intent to refinance its debt stack and retire debt. These statements are based on the Company's current expectations, estimates and projections and involve risks and uncertainties that could cause the Company's actual results to differ materially. The differences could be caused by several factors including those factors identified in the 'Risk Factors' and 'Management's Discussion and Analysis of Financial Condition and Results of Operations' sections of the Company's Annual and Quarterly Reports on Forms 10-K and 10-Q, including any amendments, as well as the Company's other SEC filings. Opinions expressed are current opinions as of the date hereof. Investors are cautioned not to place undue reliance on such forward-looking statements and should rely on their own assessment of an investment. The Company undertakes no obligation to update any forward-looking statements made in this press release to reflect future events or developments, except as required by law. Article content Article content Article content Article content Contacts Article content Investor Contact Article content Article content Brent Collins Article content Article content +1.913.344.9111 Article content Article content InvestorRelations@ Article content Article content
Reuters
4 hours ago
- Business
- Reuters
S&P lowers issue rating on Ukraine's GDP-linked debt to 'D' from 'CC'
June 3 (Reuters) - S&P Global revised its issue rating on Ukraine's GDP-linked securities to "D" from "CC" on Tuesday, saying it missed the $665 million payment to holders of its GDP warrants due on June 2. The Ukraine government said on Friday it would not make the payment, based on 2023 economic performance, but would continue to seek a restructuring of the instrument. Ukraine created the instruments - fixed income securities indexed to economic growth - to sweeten its 2015 debt restructuring, but they had not been part of last year's broader restructuring due to their complex structure. "We do not expect the payment within the securities' contractual grace period of 10 business days, given the government's moratorium on payments on this bond unless it is restructured," ratings agency S&P said. In S&P's view, the Ukraine government's ability and medium-term incentives to meet its financial commitments in local currency (LC) are somewhat higher than those relating to foreign currency debt. "A default on these LC obligations would amplify banking sector distress, increasing the likelihood that the government would have to provide the banks with financial support and limiting the benefits of debt relief," it added.
Sky News
6 hours ago
- Business
- Sky News
Thames Water creditors line up McTighe to spearhead rescue deal
One of Britain's top corporate troubleshooters is being lined up to spearhead a multibillion pound rescue of Thames Water after the company's preferred bidder walked away. Sky News can reveal that Mike McTighe is working with Thames Water's largest group of creditors on a plan to restructure the company's debts and inject new funds in the hope of avoiding nationalisation. Mr McTighe, whose portfolio of chairmanships includes the Daily Telegraph's publisher and Openreach, BT Group's infrastructure arm, is said to have begun meeting stakeholders in recent weeks. If the Class A creditors' proposal is successfully executed, Mr McTighe would probably take over as chairman of Thames Water, according to people close to the situation. Mr McTighe has earned a reputation as a turnaround expert, but also chairs companies such as IG Group, the financial spreadbetting company, and Together Financial Services, the non-bank lender. The recruitment of such a prominent businessman to lead the lenders' efforts will add momentum to a plan which increasingly looks like the only alternative to landing British taxpayers with a vast rescue bill. The group's proposal would include swapping several billion pounds of Thames Water's debt for equity, as well as injecting substantial new funding. Thames Water is Britain's largest water utility, serving more than 15m customers. However, decades of poor performance and financial engineering have left it carrying close to £20bn of debt and facing hundreds of millions of pounds in regulatory fines. The Class A creditor group, which represents about £13bn of Thames Water's borrowings, includes some of the world's most powerful investors. Elliott Management, the New York-based firm, is among those exposed to a collapse that could leave Thames Water in a special administration regime (SAR) - a government-sponsored insolvency process aimed at providers of key infrastructure services. Other members of the creditor group include institutions such as Aberdeen, Invesco, Apollo Global Management and M&G. A source close to the creditor group said: "We have done a huge amount of diligence and work on a plan to turnaround Thames. "We are the only bidders who will be able to complete this transaction within the necessary timeframe." The fact that Mr McTighe has been persuaded to join their effort will revive hope that a private sector solution to Thames Water's crisis can still be found. On Tuesday, the company announced that KKR, its preferred equity partner for the last two months, had decided not to proceed with a deal. Sky News revealed that talks between Henry Kravis, the KKR co-founder, and Sir Keir Starmer's top business adviser had taken place over the weekend in an effort to prevent the deal from collapsing. It was unclear on Tuesday whether CKI, the Hong Kong-based company which controls swathes of UK infrastructure assets, might seek to revive its interest in a deal with Thames Water. Sir Adrian Montague, the company's current chairman, said: "Whilst today's news is disappointing, we continue to believe that a sustainable recapitalisation of the company is in the best interests of all stakeholders and continue to work with our creditors and stakeholders to achieve that goal." In recent weeks, Thames Water has been fined a record £123m by Ofwat for separate transgressions relating to dividend payments and environmental pollution, and found itself embroiled in a bitter political row over whether retention payments it had lined up up executives were classified as bonuses. The company has also been at the centre of a legal battle which culminated in the Class A group of lenders providing a £3bn emergency loan in March following a court challenge launched by a smaller creditor group. The government described Thames Water as "stable" on Tuesday, but said it was ready to step in and take control of the company if required to. The company effectively faces a deadline of late July to finalise a rescue deal because of a referral of its five-year regulatory settlement to the Competition and Markets Authority.
Reuters
a day ago
- Business
- Reuters
France to drop extra capital demand for banks exposed to indebted companies
PARIS, June 2 (Reuters) - France will not renew a two-year measure that required its biggest banks including BNP Paribas ( opens new tab and Societe Generale ( opens new tab to hold extra capital against their exposure to highly indebted companies, the financial stability council said on Monday. The measure, put in place in August 2023, requires the French lenders, which also includes Credit Agricole ( opens new tab and BPCE, to hold more capital when their exposure to a single large company with high debt levels exceeds 5% of their core capital, or CET1. In such cases, banks must set aside an extra 3% of that exposure in top-tier capital. The year 2023 was marked by heavy debt restructurings in France, including high-profile cases like retail group Casino. The need to simplify macroprudential rules and lower debt levels today at the affected companies justifies dropping the measure, an official at the finance ministry said. The council, which is chaired by Finance Minister Eric Lombard and includes the central bank governor, also said it would maintain the so-called countercyclical capital buffer at 1.0%, as it did not see the measure negatively affecting new loan production.
Bloomberg
5 days ago
- Business
- Bloomberg
Broadband Operator Radiate Gets More Cash, Revamps Debt Stack
Stonepeak Partners -backed Radiate launched a deal to raise $400 million in fresh capital from its owner and also restructure existing debt, according to people with knowledge of the matter. The liquidity injection will be split across a second-out term loan and a third-out loan, said the people, who asked not to be identified discussing a private matter. The financing will pay-in-kind, which allows the cable provider to defer paying interest in cash and instead pay with additional debt, they said.
