Bartec Lenders Said to Ask Charterhouse to Inject $137 Millionby and
A group of lenders to Bartec GmbH asked its owner, Charterhouse Capital Partners, to inject 120 million euros ($137 million) into the oil and gas equipment maker in exchange for extending loan maturities and relaxing covenants, two people familiar with the matter said.
The creditors, advised by Deloitte LLP, asked the private-equity owner to provide 90 million euros to pay down Bartec’s debt and to inject another 30 million euros of cash, said the people, who asked not to be identified because the matter is private. They’re also seeking shorter loan maturity extensions and higher fees, the people said.
The proposal counters Charterhouse’s revised offer last month of as much as 30 million euros in new equity and 10 million euros toward a new credit facility. The private equity company and creditors have been locked in negotiations over Bartec’s debt terms after a collapse in crude prices reduced demand for safety equipment.
An official for Deloitte in London declined to comment on the proposal, while a spokesman for Charterhouse wasn’t available to comment.
The creditors are seeking to extend loans by 18 months instead of the company’s proposal of 2 1/2 years, the people said.
Charterhouse financed the acquisition of Bartec in 2012 with about 348 million euros of loans. Bartec raised another 149 million euros in 2014, according to data compiled by Bloomberg.