Milbank Advises Carlyle Global Credit Platform as Subscribers in Pro-Gest Group’s Issuance of up to €200 Million of Senior Secured Notes

Milbank LLP advised Carlyle Global Credit in connection with its subscription for an aggregate principal amount of €90 million and €35 million of senior secured notes due 2025 (the “Notes”) issued in a private placement by Cartiere Villa Lagarina S.p.A. and Tolentino S.p.A., respectively, each a subsidiary of Pro-Gest S.p.A. In addition, Carlyle’s Global Credit platform has provided for an additional commitment to subscribe for additional senior secured notes to be issued by Cartitalia S.r.l., a subsidiary of Pro-Gest S.p.A., up to an aggregate principal amount of €75 million, for a total transaction amount of up to an aggregate principal amount of €200 million. 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, Jordan Zaluski, Shana Mirhosseini and Philipp Engel.