Tereos to issue new 300 million euro bond to repay some debt
Reuters
Published Jan 10, 2022 04:29AM ET
Updated Jan 10, 2022 06:00AM ET
PARIS (Reuters) -French sugar and ethanol group Tereos said on Monday its subsidiary Tereos Finance Groupe I intended to issue 300 million euros ($340.17 million) in senior unsecured notes, subject to market conditions, to repay some of its existing debt.
The bond would be due in 2027, it said in a financial release posted on its website. The group had already issued similar notes in October 2020, due in 2025.
Tereos, the world's second-largest sugar producer by volume, had been grappling with low prices after the end of European sugar quotas in 2017, which hit the group's results for several years and drove up its debt levels.
After a major management reshuffle at the end of 2020, the new leadership had said lowering the group's debt level was one of its priorities. Last year it said it was selling its minority stake in two starch joint ventures in China as part of the move.
S&P Ratings said shortly after the release it had given a rating of "B+" to the proposed senior unsecured notes.
"We understand Tereos will use the proceeds to repay existing debt, including part of its 600 million euros unsecured notes due in 2023. As a result, the refinancing will benefit the company's average debt maturity profile while the total debt amount will not change following the planned issuance," S&P said.
($1 = 0.8819 euros)
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.