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Luxembourg: Ardagh’s missed deadline means $1.4B payback

By  |  January 15, 2014

After missing a deadline to finalize its planned buyout, Ardagh reportedly has to repay the $1.4 billion it raised for the transaction.

The Luxembourg –based packaging group missed its deadline of January 13 to earn approval for the buyout of US glass manufacturer Verallia North America, currently owned by Saint Gobain. But reports say Ardagh is still in settlement talks with the US Federal Trade Commission, which voted to block the deal without concessions.

Following the missed deadline, the company will have to repay the $1.4 billion it raised in issued bonds last year.

Despite the setback, reports say the company has secured alternative backing for the deal, and the parties now expect to finalize the merger this April.

Full Content: Irish Times

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