Viridor’s £2.815 Billion Refinancing Transactions

In UK Simpson Thacher & Bartlett, advised on the matter.

Simpson Thacher & Bartlett advised Viridor with a team including Gil Strauss (Picture – Debt Capital Markets), Sinead O’Shea (Finance), Yash Rupal (Tax Finance).

Viridor completed its comprehensive refinancing transactions. The new financing package for Viridor’s energy from waste business includes £1.585 billion principal amount of privately placed 2.9% Senior Secured Notes due 2043, a £900 million term loan facility with an amortizing and fixed rate tranche, a £65 million revolving credit facility and a £65 million debt service reserve facility. The proceeds from these financing arrangements were used to repay existing financial indebtedness, including certain shareholder loan notes. In addition to the financing arrangements for Viridor’s energy from waste business, an additional £200 million revolving credit facility has been put in place to provide liquidity for the wider Viridor group. The refinancing transactions were effected on December 1, 2021.

With its 11 energy from waste facilities across the U.K., Viridor is one of the U.K.’s leading energy from waste operators based on waste input tonnages. Besides its energy from waste business, Viridor operates a polymers plastics recycling business and holds certain development assets. In 2021, Viridor has announced its plans to reach net zero greenhouse gas emissions by 2040 and to become the first net negative emissions waste and recycling company in the U.K. by 2045.

The Simpson Thacher team included Gil J. Strauss (Picture), Dominik Juster, Eilidh Reid and Si Sun (Capital Markets); Sinead O’Shea, Claire Williams, Li Lin and Ashley Bannister (Credit); Yash Rupal, Caleb McConnell, Gal Shemer, Ellie Verran and Chris Dorman (Tax); and Jeanne M. Annarumma (ERISA).

Involved fees earner: Jeanne Annarumma – Simpson Thacher & Bartlett; Ashley Bannister – Simpson Thacher & Bartlett; Chris Dorman – Simpson Thacher & Bartlett; Dominik Juster – Simpson Thacher & Bartlett; Li Lin – Simpson Thacher & Bartlett; Caleb McConnell – Simpson Thacher & Bartlett; Sinead O’Shea – Simpson Thacher & Bartlett; Eilidh Reid – Simpson Thacher & Bartlett; Yash Rupal – Simpson Thacher & Bartlett; Gal Shemer – Simpson Thacher & Bartlett; Gil Strauss – Simpson Thacher & Bartlett; Si Sun – Simpson Thacher & Bartlett; Ellie Verran – Simpson Thacher & Bartlett; Claire Williams – Simpson Thacher & Bartlett;

Law Firms: Simpson Thacher & Bartlett;

Clients: Viridor;

Author: Giulia Di Palma