Italian pharmaceutical company Neopharmed Gentili has raised €750m (£641m) through its debut high-yield offering, which is the largest refinancing of private credit debt with high yield bonds in Europe to date.
The firm issued senior secured fixed and floating high yield notes, as well as entering into a new €130m revolving credit facility.
The issuance refinanced a unitranche that supported Neopharmed’s 2022 buyout by investment firm NB Renaissance, according to PitchBook. Existing backer Ardian retains a stake in the business.
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The deal was backed by an approximately €700m unitranche provided by CVC Credit, GSAM, Arcmont and Macquarie, PitchBook said.
There has been an increase in private debt refinancings this year, as public markets fight back against competition from private credit fund managers.
A PitchBook report yesterday revealed that borrowers are returning to the broadly syndicated loan (BSL) market for better pricing.
And last week, Moody’s revealed that more than $11bn (£8.7bn) worth of private credit deals had been refinanced to the BSL market this year so far.
Neopharmed Gentili was advised by Linklaters on the refinancing. Linklaters’ high yield team was led by partner Giacomo Reali, its banking team was led by London partners Chris Medley and Rohan Saha with Milan partner Diego Esposito, and its cross-border tax team was coordinated by partner Roberto Egori.
White & Case also acted on the transaction’s capital markets aspects, led by partners Michael Immordino and Evgeny Scirto Ostrovskiy, both based in London and Milan.
Read more: Banks fight back against private credit boom as borrowers seek out savings
