Bapcor shares slip after extending debt maturity
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More news: Shares in Bapcor slipped nearly 1% to $4.96 in a weak Australian market despite the troubled auto parts retailer successfully refinancing $200 million of debt that was due to mature in July 2025. The company also increased its debt facility by another $100 million, pushing maturity out to July 2028 and July 2029.
The company also said George Saoud, who has been interim CFO since 14 March, would take over the role on a permanent basis from 1 July.
Bapcor refinances debt, names George Saoud as CFO
The news: Takeover target Bapcor has bolstered its balance sheet by refinancing debt and has permanently appointed George Saoud as its chief financial officer.
The numbers: Bapcor said it successfully refinanced $200 million of debt that was due to mature in July 2025 and increased this debt facility by another $100 million, pushing maturity out to July 2028 and July 2029.
The troubled auto parts retailer now has access to a total $720 million debt facility with lenders including ANZ, Westpac, NAB, Citi, Sumitomo Mitsui Banking Corporation (SMBC) and MetLife.
The company's share price last closed at $5 and over the last 12 months has slumped 16.39%.
The context: The company said Saoud, who has been interim CFO since 14 March, would take over the role on a permanent basis from 1 July. He has previously worked in leadership positions at Coles and Metcash.
The appointment will help partly settle the recent leadership turmoil at Bapcor and comes just days after it received a $1.83 billion takeover offer from private equity firm Bain Capital.
Bapcor's market value has slumped since the company announced a profit hit and hefty asset impairments last month amid challenging market conditions.
Bapcor said its debt refinancing attracted strong lender interest and was done on competitive terms and pricing, which is reflective of the company’s attractive market and business profile.
The sources: ASX announcement, ASX announcement
