Rettig Group to repay financial debt, subject to completion of SigmaRoc’s acquisition of Nordkalk
Rettig Group Ltd (“Rettig Group”) has today signed an agreement to divest Nordkalk Corporation (“Nordkalk”), the leading limestone company in Northern Europe, to SigmaRoc Plc (“SigmaRoc”), and to become a significant shareholder in SigmaRoc with an ownership of around 8%. The transaction value is EUR 500 million on a cash- and debt-free basis. SigmaRoc is a UK-based construction materials group listed on the Alternative Investment Market of the London Stock Exchange.
Completion of the transaction is subject to customary anti-trust approval from relevant authorities, which are expected to be obtained during the third quarter of 2021, and to approval by SigmaRoc’s extraordinary general meeting of the transaction and a directed share issue to finance it. SigmaRoc intends to convene its general meeting for 2 August 2021.
Subject to closing of the transaction, Rettig Group shall repay all outstanding bilateral loan facilities in the aggregate principal amount of EUR 140 million, to be repaid within two weeks following the date of the completion of disposal. In addition, existing committed revolving credit facilities (currently un-utilised) in the aggregate amount of EUR 210 million shall be cancelled on the Business Day following the date of the completion of the disposal. Rettig Group intends to replace the cancelled committed facilities with a new committed revolving credit facility post closing of the transaction.
Rettig Group Commercial Paper Programme will remain in place and the CP programme cap, currently EUR 200 million, will be reduced in due course to fall in line with new RCF agreement. Subject to the terms and conditions of the programme, Rettig Group will be repaying maturing commercial paper according to existing maturity date profile, unless renewed at maturity by the investors. New issuance will continue under the existing programme until further notice or reduction in the programme cap.
Rettig Group has two outstanding bonds with principal amounts of EUR 110 million and EUR 90 million. Whilst the bond terms allow the disposal to complete, Rettig Group will assess potential actions with regards to the bonds in due course.
Further information:
Matts Rosenberg, CEO, Rettig Group: Tel. +358 (0)40 745 5276
Topi Jokiranta, CFO, Rettig Group: Tel. +358 (0)400 482 628