CMA CGM has finalized its financial restructuring launched last year

Binding agreement signed with the French Fonds Stratégique d’Investissement – Additional investment by Yildirim Group

CMA CGM announce that it has now finalized its major financial restructuring launched less than a year ago:

• Closing of the agreement with its Banks regarding its debt restructuring. This agreement provides for a new covenant package taking into account the industry’s volatility and a partial refinancing of a credit line maturing in 2013 into new secured term loans of a maturity of more than 3 years for a total amount of EUR 280 million .
• Signing of a binding agreement with the French Fonds Stratégique d’Investissement who at closing, expected within 3 months, will subscribe to bonds redeemable in shares for an amount of US$150 million giving right to a 6% stake in CMA CGM upon conversion.
• Closing of the subscription, under the terms of the existing agreement, by the Yildirim Group of bonds redeemable in shares for an amount of US$100 million giving right to a 4% stake in CMA CGM upon conversion.

A few weeks after the signing of the sale of 49% of Terminal Link to China Merchants Holdings International for EUR 400m, CMA CGM’s agreement with its banks together with new equity injection will result in a significantly more resilient and flexible financial structure.

Rodolphe Saadé, CMA CGM’s Executive Officer, said: “The finalization of the debt restructuring combined with new equity injection from FSI and Yildirim Group and the sale of 49% of Terminal Link will allow CMA CGM to operate with the required financial flexibility and constitutes key milestones before contemplating an IPO.”

Source: CMA CGM

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