DC Advisory advised Ros Roca Environment on its debt refinancing

Background

• Founded in 1953 in Tarrega, Ros Roca Environment specializes in the manufacturing and distribution of waste collection and cleaning equipment
• The Company has an outstanding position in European markets, with a leading position in the UK (c.60% market share), the Iberian Peninsula, Germany (c.20% market share) & France (30 – 35% market share).
• Additionally, the Company has a relevant presence in LatAm (30 – 35% market share), notably a 45 – 50% market share in Brazil and an 80% hold on the Chilean market

Transaction overview

• DC Advisory advised Ros Roca Environment on the refinancing of its debt
• Numerous bank pool (including more than 12 financial entities) challenged the process and several public financing entities.
• Non recurrent losses from the non core Plants division together with a very short term financing structure led the company to a very complicated financial situation.
• As part as the refinancing process, the shareholders carried a capital increase of c. €20 m.
• DC Advisory also helped the UK subsidiary (Dennis Eagle) in a recapitalization to bring money to the Spanish subsidiaries
• Dennis Eagle contributes with more than half of the consolidated EBITDA, but its cash flow is ring fenced linked to the debt structure in place
• DC Advisory advised the Company in the refinancing process, including the elaboration of a refinancing proposal to banks, negotiation with all financial entities and coordination of all parties involved (company, legal advisors, commercial, risk an legal departments of financial entities, etc.)