July 9, 2021

Milbank Advises Carlyle Global Credit on Financing for Cartitalia, Part of Pro-Gest Group

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Milbank LLP advised Carlyle Global Credit in connection with its subscription for senior secured notes due 2025 issued in a private placement by Cartitalia S.p.A, a subsidiary of Pro-Gest S.p.A. This subscription is the third in a series of private placements by Pro-Gest S.p.A. and provides a total transaction amount of €200 million, following subscriptions by Carlyle Global Credit in December 2020 for aggregate principal amounts of €90 million, €35 million and €75 million senior secured notes due 2025 issued by Cartiere Villa Lagarina S.p.A., Tolentino S.p.A. and Cartitalia S.p.A., respectively, each a subsidiary of Pro-Gest.

The proceeds of the private placements will be used to refinance existing indebtedness, as well as to strengthen the capital structure of the Pro-Gest Group, to support the recent restart of operations at its Mantova mill and for the core business of the Pro-Gest Group.

Founded in 1973, the Pro-Gest Group is one of Italy’s leading vertically-integrated producers of recycled paper, containerboard, corrugated cardboard and packaging solutions with over €450 million revenue, approximately 1,200 employees and 29 sites. With a reinforced capital structure, the group is well placed to accelerate its growth and benefit from the structural positive trends in the paper and packaging industry.

The Milbank team was led by London Capital Markets/ Leveraged Finance partner Suhrud Mehta, with special counsel Ana Grbec and associates Zoe Halliday, Stephanie Colquhoun and Philipp Engel.