Deal Announcement – Successful restructuring of the bond of R-Logitech S.A.M.
Munich, 12. May 2023 – DMR Rechtsanwälte negotiates successful restructuring of the EUR 200 million bond 2018/2023 of R-Logitech S.A.M (ISIN: DE000A19WVN8 / WKN: A19WVN).
- DMR Legal successfully advises an ad hoc group representing a large group of institutional and private bondholders in the successful restructuring of the up to EUR 200,000,000.00 8.50% bond 2018/2023.
- A restructuring concept negotiated by lawyers of DMR Legal together with the investment bank Houlihan Lokey with the company and its advisors was approved by a large majority and could now be implemented.
- The negotiations resulted in a significant improvement of the bondholders’ position through a graduated system of extensions and milestones, provision of comprehensive collateral, new interest coupons and their adjustment.
- MR Treuhand GmbH, represented by its Managing Director Dr. Tobias Moser, was elected as joint representative of the bondholders and Board Observer to the Company.
On 29 March 2023, the second bondholders’ meeting of the EUR 200 million bond2018/2023 of R-Logitech S.A.M was held. With 39.8% of the outstanding bond present, an overwhelming majority of 99.88% (amendments to the bond terms and conditions) to 99.95% (election of MR Treuhand GmbH as joint representative) approved the counterproposals submitted by SdK – Schutzgemeinschaft der Kapitalanleger e.V. and significantly negotiated by DMR Legal and Houlihan Lokey.
In addition to a staged extension of the bond, the increase and capitalization of the interest coupon, the introduction of a comprehensive collateral package with share pledges and new termination rights, the introduction of a milestone for the refinancing or sale of a significant shareholding, and additional governance measures were resolved and have now been successfully implemented. Following the execution of the various conditions, an amendment of the bond terms and conditions and a reinstatement of securities trading is now expected in the near future.
The new bond terms were the result of intensive negotiations between the advisors of the Ad Hoc Group of institutional, international bondholders and the company. DMR Partner Dr. Tobias Moser commented:
“R-Logitech is an international group with an attractive business model, which has an attractive and sustainable asset in its portfolio with ist Euroports investment. The compromise reached allows the company to seek refinancing in the market or to initialize an orderly, value-maximizing M&A process. At the same time, the bondholders improve their position through additional collateral, new governance mechanisms such as MR Treuhand GmbH as board observer, as well as the agreement of binding milestones, significantly improve their position and can, in the event of a further positive development of the Euroports investment in particular, maintain or significantly improve their chance of a substantial recovery compared to today.”
As a result of the resolutions now being executed, the new bond terms will be registered shortly and trading is therefore also expected to resume in the near future.
With this deal, DMR Legal once again underscores its expertise in restructuring advice, which is at the core of the business boutique.
Advisors tot he transaction:
For the bondholders of the EUR 200 million bond 2018/2023:
- Legal Advisor: DMR Rechtsanwälte (München: Dr. Tobias Moser, Dr. Thomas Ressmann, Dr. Maximilian Degenhart, Fabian Wirths)
- Financial Advisor: Houlihan Lokey (Frankfurt: Malte Wulfetange, Maximilian Mangold, Jannis Markgraf)
For the Issuer R-Logitech S.A.M:
- Legal Advisor: Norton Rose Fulbright (Frankfurt: Dr. Frank Regelin),
- Financial Advisor: Perella Weinberg Partners (London: Clinton Ray, Markus Freund)