Monitchem units to sell three series of senior notes due 2025, 2026

By Sarah Lizee

Olympia, Wash., Sept. 23 – Monitchem Holdco 2 SA launched an offering of senior notes due 2026, and its wholly owned subsidiary Monitchem Holdco 3 SA simultaneously launched an offering of floating-rate senior secured notes due 2025 and fixed-rate senior secured notes due 2025, according to a company announcement.

The offerings are part of the refinancing of the issuers’ existing senior notes due 2022 and existing senior secured notes due 2021.

In addition, in connection with the offering, Monitchem Sarl, a wholly owned subsidiary of Permira Funds, and Monitchem Midco Sarl, the indirect parent company of the issuers, will enter into a contribution agreement under which Monitchem Sarl will contribute 100% of the shares of Monitchem Kansas Sarl to Monitchem Midco, which in turn will contribute those shares down the chain of subsidiaries of Monitchem Midco so that Monitchem Kansas will ultimately be held by CABB Europe GmbH.

The contribution is expected to be completed on or about the issue date.

The proceeds, together with cash on balance sheet, are expected to be used to redeem the existing notes in full and to repay Monitchem Kansas’ existing term loan facility.

The contribution is conditional on the offering being completed.

Monitchem is the parent holding company of the Cabb Group, a Taunus, Germany-based supplier of chemical building blocks based on chlorine and sulfur.

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