Armacell completed € 560 million refinancing and secured € 100 million liquidity reserve
Luxembourg, February 5, 2016 – Armacell, a leader in flexible insulation foams for the equipment insulation market and a leading provider of engineered foams, completed the approx. € 560 million refinancing of the company`s pending acquisition by Blackstone and KIRKBI. As part of the transaction Armacell secured an additional liquidity reserve of € 100 million.
The multi-tranche deal consists of approx. € 445 million senior secured debt, approx. € 115 million subordinated debt and a liquidity reserve in the form of a revolving credit facility of approx. € 100 million. Throughout the two week book-building period, there was strong interest from investors and the tranches were oversubscribed.
“We are pleased with the result of our capital raise”, says Patrick Mathieu, CEO of Armacell International S.A. “It is a reflection of our compelling investment case and of a continued blue-chip investor following of Armacell even in a volatile market environment.” The refinancing was arranged by a pool of international banks led by Deutsche Bank. Based on the revised capital structure Armacell is rated B (flat) by Standard & Poor’s and B3 by Moody’s. The sale of Armacell to Blackstone and KIRKBI which was announced in late November 2015 is expected to close in Q1 2016.
Director Corporate Communications
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