Klöckner Pentaplast Group completes successful recapitalization

Klöckner Pentaplast (the “Company”) is pleased to announce the successful recapitalization and strengthening of its capital structure with the support of its lenders. Following a cash equity injection of €190 million by a group of new investors led by Strategic Value Partners LLC (“SVP Investor Group”) and new debt facilities underwritten and funded by Jefferies & Company, Inc. and its affiliates (“Jefferies”), Klöckner Pentaplast has repaid, in full, the principal amount of €800 million of first lien senior secured credit facilities at par plus accrued interest. Following the equity injection, the SVP Investor Group has assumed ownership of the Company. As part of the transaction, Klöckner Pentaplast’s capital structure has been substantially strengthened as total debt has been reduced by approximately 50% to €630 million from €1.26 billion. The debt reduction results from the cash equity injection by the SVP Investor Group and the effective equitisation of second lien and mezzanine debt.

Klöckner Pentaplast is the world’s leading producer of films for pharmaceutical, medical device, food, electronics, and general-purpose thermoform packaging, as well as printing and specialty applications. Founded in 1965 in Montabaur, Germany, Klöckner Pentaplast has grown from its initial facility to 17 current global production facilities in 11 countries.

Source: Klöckner Pentaplast