March 25 (Bloomberg) -- Flint Group Inc., the printing ink maker owned by CVC Capital Partners Ltd., got support from lenders to repay a portion of its debt as part of an effort to push back the maturity of its borrowings, according to two people with knowledge of the transaction.
The company, which owes about 2.5 billion euros ($3.2 billion), got the two-thirds backing it needed to repay about 50 million euros of term loans A, B and C due 2013 and 2014 from its own cash, said the people, who asked not to be identified because the matter is private.
Colin Stokes, a U.K.-based spokesman for Flint, didn’t respond to a telephone call and e-mail seeking comment on the deal. A spokesman for CVC, who asked not to be identified citing company policy, declined to comment on the financing.
The debt is held by lenders that didn’t agree to a loan extension proposal in 2011. Their rejections meant the company couldn’t push back maturities of its senior debt by two years, the people said. Flint’s lower-ranking loans were extended to 2018 as part of the request.
A 50 basis-point fee was on offer to lenders if they agreed to the request by March 22, while those agreeing by the final deadline of March 28 will receive 25 basis points, people said previously. The interest margin on the extended debt will rise 100 basis points, said the people. A basis point is 0.01 percentage point.
Flint Group was formed in 2005 when CVC bought U.S.-based Flint Ink Corp. and combined it with Xsys, the European business it created by merging a printing-colors business from BASF AG and Sweden’s ANI Group.
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