Anchor Glass has reached an agreement with its loan holders on a recapitalisation plan.
The glass packager said the plan will strengthen its capital structure and position the business for long-term growth.
The agreement provides a 60% reduction of the company's debt as well as $100 million to support investment and growth.
Nipesh H. Shah, President and Chief Executive Officer of Anchor Glass, said the transaction will transform the Tampa-headquartered glass company's balance sheet and establishes a resilient, well-capitalized platform fuelled for growth.
“With enhanced financial flexibility, we will be poised to further advance our capabilities as ‘One Anchor’ to better serve our portfolio of highly valued customers with excellence.
"Guided by our three strategic pillars – advancing safety, delivering a flawless customer experience, and reducing industrial cost for our partners – we will accelerate the progress achieved in recent years and unlock new opportunities.”
Upon closing, the first- and second-lien lenders will become the majority owners of the company.
The company’s revolving credit facility will also be refinanced as part of the transaction.
