Guala Closures guides €500 million five-year secured notes at Euribor plus 475-500 bps

By Paul Deckelman

New York, Nov. 2 – Guala Closures SpA set initial coupon guidance on its €500 million of senior secured floating-rate notes due 2021 at 475 basis points to 500 bps over Euribor, a European high-yield source indicated Thursday.

The notes were expected to price between 99.5 and par.

The issue will be brought to market via bookrunner Credit Suisse (Europe) Ltd.

The issue will be guaranteed by GCL Holdings SCA, the direct holding company of the issuer, and certain of the guarantor's subsidiaries.

Guala Closures, an Alessandria, Italy-based manufacturer of bottle tops and other closures for beverage containers, announced plans for the note offering on Wednesday.

It said that the anticipated proceeds from the notes sale will be used to fund a tender offer for its €275 million of floating-rate senior secured notes due 2019 that the company sold in November 2012 and for parent GCL Holdings’ €200 million of 9 3/8% senior notes due 2018.

Any notes not tendered are expected to be redeemed on Dec. 2 using the call provisions in the indenture.

Credit Suisse Securities (Europe) Ltd. is dealer manager for the tender offer, whose expiration date is Nov. 10.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.