Van Gansewinkel Group BV’s creditors are seeking to take control of the Dutch waste management firm from CVC Capital Partners and KKR & Co. as they restructure its debt, according to three people familiar with the matter.
Alcentra Capital Corp., Beach Point Capital Management, Capula Investment Management and ING Groep NV proposed that creditors take full control from the private equity owners in exchange for postponing about 800 million euros ($860 million) of loans due 2017 and 2018, the people said. Remaining lenders have until tomorrow to vote on the plan, said the people who asked not to be identified because the talks are private.
Restructuring negotiations started last year after KKR and CVC, which acquired Van Gansewinkel in 2007, failed to find a buyer for the business that’s been hurt by greater competition. Under the plan, proposed on April 20, the company will have five years from completion of the restructuring to pay back 320 million euros of senior loans and six years to repay about 500 million euros of new payment-in-kind loans while the owners will get warrants in the reorganized company, the people said.
Carsten Huwendiek, a spokesman for CVC, Lauren Stewart, an Alcentra spokeswoman, and Jonathan Gasthalter, a spokesman for Capula employed by Sard Verbinnen declined to comment on the plan.
Nina Suter, a spokeswoman for KKR employed by Finsbury, and officials at Beach Point Capital weren’t immediately available to comment.
Adrian Simpson, a spokesman for ING, and officials at Van Gansewinkel didn’t return calls and e-mails seeking comment.
Without unanimous support for the restructuring proposal, creditors may seek backing from a London court, the people said. The U.K. legal process, known as a scheme of arrangement, requires consent from 75 percent of lenders.