Ardagh Investments Holdings Sarl, an unrestricted subsidiary of Ardagh Group, a supplier of recyclable metal and glass packaging, executed definitive documentation for a new senior secured credit facility with certain investment funds and other entities managed by affiliates of Apollo Capital Management. The new facility consists of an initial €790 million ($842.43 million) senior secured term loan, a $250 million (equivalent) senior secured exchange term loan and an additional senior secured term loans in an amount sufficient to fund a debt service reserve account at Ardagh Investments Holdings Sarl.
The Facilities are secured on all material assets of Ardagh Investments Holdings Sarl, including a pledge on equity interests of the company in Ardagh Metal Packaging. The facilities will mature in 2029.
Ardagh Investments Holdings Sarl intends to on-lend approximately €755 million ($805.11 million) of the proceeds of the initial term loan to Ardagh Packaging Finance and Ardagh Holdings USA (the existing issuers) by subscribing to new senior secured notes due 2029 to be issued by the existing issuers, which will be used to redeem in full, $700 million senior secured notes due 2025 issued by the existing issuers.
The facilities are expected to be drawn down in Q2/24. Following the redemption of the 2025 senior secured notes, Ardagh will have no bond maturities arising before August 2026.
