Latham & Watkins has advised the committee of lenders on the comprehensive recapitalization of Flint Group, a global leader in printing consumables and services to the packaging industry. The transaction was implemented consensually with 100% support from the first lien lenders (including the RCF lenders) and the second lien lenders, as well as the existing shareholders.
The transaction materially strengthens the Group’s balance sheet and liquidity position. The operating group’s balance sheet benefits from a c. €760 million deleveraging, and the cash flow profile has been improved as a result of a reduction in debt service costs going forward. In addition, the Group has obtained €72 million of new liquidity provided by certain of the new shareholders as lenders under a super senior facility. The recapitalization extends maturities by up to four years, ensuring that the Group remains on a strong financial footing and is well positioned for the future. Flint Group’s ownership has been transferred from the existing shareholders to the consortium of investors led by Alcentra Limited, Baring Asset Management Limited, CVC Credit, and KKR Credit.
The Latham team was led by London partners Yen Sum and David Wallace, with associates Jack Isaacs, Musonda Mutati, and Stanzi Rosenthal; and by German partner Frank Grell, with Frankfurt/Hamburg counsel Daniel Splittgerber. Advice on corporate matters was provided by London partner Huw Thomas, with associates Matthew O’Connor, Alice Drayton, Christian Roberts, Noreen Hesse, and Alex Gish; on banking matters by London partner Fergus O'Domhnaill, Frankfurt partner Alexandra Hagelüken, and Milan partner Marcello Bragliani, with associates Chris Devine, Corrie Eames, Mohammad Kazmi, Avtar Rai, Ivan Alaev, Anastasia Dressler, Davide Camasi, Ana Núñez Cárdenas, and Rebecca Tan; on tax matters by New York partner Jiyeon Lee-Lim, London partner Karl Mah, and German partner Ulf Kieker, with associates Emmanuel Eni Kassim, Lina Le Roux, and Johannes Lieb; on competition matters by London partners Jonathan Parker and Greg Bonné, with associates James Mathieson and Nadeem Brora; on German corporate matters by Frankfurt partner Susanne Decker, with associate Katharina Intfeld; on German litigation matters by Frankfurt counsel Mathias Fischer; on sanctions matters by London partner Charles Claypoole and Washington, D.C. partner Eric Volkman, with associates Tom Lane and Matthew Gregory; and on employment matters by London partner Sarah Gadd, with associates Jess McIntosh, Paul Lawrence, and Joseph Goddard.