Investment firms offer help to recapitalise Ascendis
JSE-listed pharmaceuticals company Ascendis Health has advised of Blantyre Capital and L1 Health's interest to have the company be recapitalised, instead of it continuing to pursue a divestment strategy.
The divestment strategy was effected to reduce the highly-leveraged position of Ascendis and, in particular, loans outstanding to a consortium of third-party financiers or consortium lenders.
Blantyre and L1 Health have, through funds managed and advised by them, increased their aggregated exposure as a consortium lender to more than one-third of the aggregate exposure of all consortium lenders.
Blantyre and L1 Health have stated that, with the exception of the disposal of certain noncore assets already subject to advanced negotiations, they are of the view that the current divestment plan is not in the best long-term interests of the company and its stakeholders.
Instead, they believe that a recapitalisation of the group should be pursued to reduce leverage to a sustainable level and provide the funding necessary to maximise the long-term strategic value of the business.
Blantyre and L1 Health have invited the Ascendis board to negotiate, on an expedited basis, a reorganisation of Ascendis’ capital structure with their support and have indicated a willingness to invest further into the company to achieve this outcome.
The senior facilities agreement, which includes the divestment strategy, with consortium lenders remains in place while the board assesses the strategic direction of the company.
L1 Health is a long-term investor in the healthcare sector and an indirect wholly-owned subsidiary of Letterone Investment Holdings, which, in turn, is an international investment business with about $24-billion in assets.
Blantyre is a London-based investment firm focused on partnering with companies in relaunching good businesses facing temporary financial challenges. Blantyre had been a member of Ascendis’ consortium of lenders for some time.
Comments
Research Reports
Projects
Latest News
Showroom
At John Ratcliffe, we are aftermarket specialists for heavy-duty on and off-road vehicles. We engineer and retrofit advanced safety systems, engine...
VISIT SHOWROOM
FlameBlock is a proudly South African company that engineers, manufactures and supplies fire intumescent and retardant products to the fire...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
