Graeme Hart. Photo / Dean Purcell
New Zealand's richest man, Graeme Hart, has pulled off a multi-billion dollar funding deal amid market turbulence.
Hart's packaging company Reynolds Group Holdings said it had completed a private placement of US$1.5 billion ($1.8 billion) in senior secured notes and US$1 billion of senior notes, at 7.875 per cent and
9.875 per cent respectively, both due in 2019.
The proceeds from the private placement would be held in escrow until the completion of a proposed acquisition of Graham Packaging Company.
Reynolds Group had also amended existing senior secured credit facilities, with lenders providing incremental term loans amounting to US$2 billion, to be funded on the closing date of the Graham Packaging acquisition.
The company intended to use the proceeds from the offering and incremental term loans to finance the acquisition, repay debts and pay related fees and expenses.
