Diebold Nixdorf, Incorporated, a global provider of banking and retail solutions, has finalized a debt restructuring agreement with its key financial stakeholders. The comprehensive restructuring aims to reduce debt, improve liquidity, and establish a sustainable capital structure for the company. The agreement involves major creditors holding a significant majority of the company’s outstanding debt, and it includes the filing of a pre-packaged chapter 11 plan of reorganization.
Facts
- Diebold Nixdorf has entered into a restructuring support agreement with its key financial stakeholders to carry out a comprehensive debt restructuring transaction.
- The restructuring is expected to significantly reduce the company’s debt and leverage levels, providing substantial additional liquidity for seamless ongoing operations.
- The agreement includes creditors who hold a significant majority of the company’s outstanding secured term loan debt and secured notes.
- The support agreement encompasses approximately 80.4% of the company’s superpriority credit facility, around 79% of the first lien term loan, approximately 78% of the first lien notes, and roughly 58.3% of the second lien notes.
- Octavio Marquez, Diebold Nixdorf’s chairman, president, and CEO, expressed enthusiasm about the restructuring, stating that it strengthens the company’s financial position and enables better service to customers, employees, suppliers, and partners.
- The restructuring will involve a pre-packaged Chapter 11 plan of reorganization, a scheme of the arrangement, and recognition of the scheme of arrangement through a case commenced under Chapter 15 of the U.S. Bankruptcy Code by the Dutch Issuer.
- The restructuring transactions are expected to be consummated in the third quarter of 2023, subject to conditions and the negotiation of further definitive agreements. The restructured company’s common shares are anticipated to be listed on the New York Stock Exchange.
