The debt refinancing transaction consists of a tap of its Term Loan B with maturity in August 2025 subject to the same terms and conditions (interest rate of Euribor + 4%) for an amount of €425 million, above the initial target of €400 million, at a price of 99,25% of the nominal amount.
This tap increases the aggregate principal amount of the Term Loan B to €1,425 million.
In addition, it also incorporates the buyback and cancellation of €105 million in aggregate principal amount of bonds maturing in January 2023 and March 2024, corresponding to the total amounts tendered.
Future Debt Buybacks And Repayments
The proceeds raised and not used for purposes of the tender offer will be used for future debt buybacks and repayments, the retailer said.
It added that the settlement of both transactions is expected in the coming days.
At the start of November, Groupe Casino announced a 1% increase in same-store group sales in the third quarter of its financial year, which was an improvement on the 4.1% decline it recorded in the second quarter of the year.
In its core market of France, however, sales were down 4.3% in the third quarter, with its Monoprix banner seeing a 4.1% drop, the Franprix business down 3.6%, and its hypermarkets business down 8.5%.
The retailer also recently announced a quick commerce deal with Gorillas.
© 2021 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine