IVS Group taps its high yield bond issue to 250 million euros

IVS Group sa announced yesterday that its subsidiary IVS F spa has priced the issuance of 50 million euros 7.125% senior secured notes due 2020 at an issue price of 106% of the nominal value plus interest accrued from October 1, 2013, implying a yield to maturity of 5.9% (download here the press release).
IVS Group is the Italian leader and third player in Europe in the business of automatic and semiautomatic vending machine of  cold and hot drinks and snacks and it has been listed at the Italian Stock Exchange after the reverse merger with Italy 1 Investments sa, the first Spac (Special purpose acquisition company which was listed at the Italian Stock Exchange).
This bond issue is a tap of a previous 200 million euros issue at the same terms, so  the company has lowered its overall relative funding costs and the outstanding 250 million euros of  the 7.125% high yield bonds will have an average cost to the company until maturity below 7%. Initial offering of the Notes will be led by BNP Paribas acting as Sole Bookrunner.
The proceeds of the additional notes will be used for general corporate purposes, including approximately 35 milliosn to finance
committed acquisitions already announced this year and potential transactions under negotiation and associated capital expenditure, as
well as to fund potential put and call obligations in respect of minority investors in certain subsidiaries.
In 2013 IVS Group consolidated revenues amounted to 312.7 million euros (+5% from 297.8 millions in 2012), adjusted ebitda increased to 64 millions (+5.3% from 60.7 millions) and net profit was equal to 5.7 millions (compared to a loss of  15.4 millions, related to accounting effects of the merger with Italy 1 Investment sa Spac),  Taking into account non-recurring costs (related to: (i) the translisting on the MTA, (ii) the bond placement and (iii) changes in the fair-value of options on acquisition of minority interests) net profit amounted to  11.1 millions.
Net financial debt increased to 186.4 millions (from 168.5 millions) due to the payment of capex in fixed assets and acquisitions, including the balance due for investments made in 2012, for a total amount of  51,8 million (of which 33.8 millions of net fixed assets and 17.8 millions for acquisitions).