Value: 320 million euro. That’s the number for the “senior secured bond” that, – as stated in a note – Rino Mastrotto “successfully placed yesterday on the high-yield market”. Maturity: 2031, with floating interest rate.
A 320 million bond issue
The Vicenza-based group, announced that this package of Secured Senior Notes “will be issued at a price of 99.5%, and will have an annual interest rate equal to that of the three-month EURIBOR rate and 4.75 percent per annum, reset quarterly”. The objective of the transaction is in line with Rino Mastrotto’s path of growth and differentiation, which in recent years has expanded its production scope by acquiring a number of top fabric manufacturers.
The objectives of the bond
“The proceeds will be used to refinance the Issuer’s existing debt and support a dividend distribution to shareholders”. But also “for general corporate purposes”. Translated: actions that “may include potential future investments”. Other acquisitions, then, appear to be likely. The Vicenza-based group “has also signed a financing agreement with some institutions on a revolving basis in the amount of 50 million euros”.
Proud of the result
“We are proud of the excellent result achieved by Rino Mastrotto in its first bond issue on the capital market”, commented CEO Matteo Mastrotto. “The significant interest in the transaction from Italian and international investors is further recognition of our company’s achievements during its 60 years of history. It confirms the strength of our business model, based on excellent craftsmanship and unique technologies”.
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