Grupo Pão de Açúcar Restructures R$4.57B Debt: 50% Reduction TargetGrupo Pão de Açúcar has successfully concluded a renegotiation with creditors concerning its extrajudicial recovery plan, which addresses a total debt of R$4.57 billion. The company expects to reduce the total value of its obligations by more than 50% over time.
Key terms of the restructuring include extending the average payment term to 6.4 years and decreasing the average cost of the debt. The plan also involves the restructure of credits into convertible debentures worth up to R$1.1 billion and new financing of up to R$200 million.
The agreement has received approval from creditors representing 57.49% of the total credits involved in the negotiation.