The Restructuring of Metalcorp’s €140Million Bond Transaction Interview TRANSACTION INTERVIEW 77 About the Deal Munich-based restructuring boutique DMR Legal advised the bondholders of Metalcorp on the restructuring and extension of a €140 million bond. Norton Rose Fulbright advised Metalcorp. Metalcorp is a metals and minerals group that operates production and mining facilities across Europe and Africa. Aluminium, metals and concentrates comprise its primary business areas, three primary business areas, with its bulk goods and ferrous metals segment also contributing around €254.8 million in sales in 2021. Company-wide sales revenue for the first half of 2022 rose 68% year on year to €511.1 million. In early October 2022, Metalcorp announced that it could not afford the repayment of the bond (originally issued in 2017 for a period of five years) that was now due. Following the successful restructuring, this bond has now been extended by one year. Investors will receive interest of 8.5% for this additional year compared to 7% for the originally agreed term. A number of security mechanisms and termination rights have also been defined, in addition to mandatory partial repayments at the end of March and May 2023. The new arrangement was approved by an overwhelming majority at a second creditors’ meeting in November 2022. The creditors, a majority of whom are private investors, had pooled their interests with the help of the Protection Association of Capital Investors (SdK), which submitted the relevant motions at the meeting. The agreement reached was subject to a one-month objection period that has expired without any objections raised. Metalcorp is also running another five-year bond (2021/26) for €300 million, on which the bondholders are advised by Kirkland & Ellis. DMR Legal advised the bondholders of Metalcorp with a team comprising partners Dr Tobias Moser, Dr Thomas Ressmann and Dr Maximilian Degenhart, as well as associate Fabian Wirths. Advisor to Metalcorp: Advisor to the €140m bondholders due 22: Advisor to the €350m bondholders due 26:
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