ED&F Man is pleased to announce the successful completion of its legacy debt restructuring and associated refinancing of its core commodities business, effective today, 31 March 2022.
As part of this process, the consistently profitable core commodities trading business of ED&F Man has been successfully ring-fenced from its legacy businesses. Additionally, through the restructure, ED&F Man Commodities has raised $300 million of additional liquidity to manage the current high commodity price environment. The new ring fenced commodities business has a strong balance sheet to continue to deliver as a key part of the food and feed global supply chains. In FY21, these commodities businesses delivered earnings before interest, tax, and depreciation of over $158 million.
Additionally, the legacy debt has been restructured extending its tenor up to 2028, separating it from the Commodities business and providing a suitable runway for the disposal of non-core businesses.
ED&F Man Chairman Chris Mahoney said “This was a complex process to achieve a simple outcome for the benefit of all our stakeholders. Today we move forwards with a commodities business with the liquidity it needs, and the structure required to support our future.”
ED&F Man is grateful for the support of its existing and new lenders, and all its stakeholders.