Sappi To Raise $680M In Bond Sale

Sappi is planning to raise $680 million through the sale of senior secured high-yield notes to refinance debt.

Sappi is planning to raise $680 million through the sale of senior secured high-yield notes to refinance debt. The South African-based pulp and paper group intends to use the proceeds to redeem its 6.75% notes due in 2012 and repay about $284 million of a term loan. The sale includes seven-year notes in euros that it can redeem after four years, and 10-year dollar-denominated bonds callable after five years, adds Bloomberg. Citigroup, Credit Agricole, JPMorgan Chase, KBC Groep, RBS, UniCredit, Nordea Bank and Standard Chartered are managing the deal.

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