A&OShearman has advised Froneri, a leading global ice cream company and joint venture between Nestlé and PAI Partners, on its EUR4.25bn debut high-yield bond andincremental loan financing.
Froneri produces a wide range of ice cream products across a portfolio of much-loved ice cream brands sold in over 100 countries from the 25 countries where it has operations. Froneri holds top retail market positions in almost every country in which it operates and is the number one private label manufacturer globally.
The financing comprised (i) a debut high-yield bond issuance of EUR600m 4.750% senior secured notes due 2032 and USD580m 6.000% senior secured notes due 2032, (ii) incremental term loan facilities of EUR900m and USD2.215bn, and (iii) an incremental revolving credit facility of EUR350m.
John Kicken, head of high yield, commented: "We are delighted to have supported Froneri on its landmark financing and inaugural high yield bond issuance, a significant step in diversifying its capital structure. This innovative financing demonstrates Froneri's market leadership, underscores the successful partnership among its shareholders, and positions the company for its next phase of expansion."
The A&OShearman team was led by sponsor-side leveraged finance partnerAdam Zechariaand head of high yieldJohn Kicken, together with senior associatesSampada Bannurmath,Baxter Schooley,Matt Short, andHarry Rouse, associatesParidhi Srivastava,Shruti Sethi, and Laurens de Korte, and trainee Daniel-Paul Osahon.
Cross-border advice was also provided by A&OShearman's finance partners led byMarnie Felsin Australia,Michel Houdayerin France,Thomas Neubaumin Germany andGordon Makin the United States.