New international Euro PP by the Paragon group

CMS advised Crédit Agricole Corporate and Investment Bank (CACIB) on the new bond issue of the Paragon group in three tranches for a total amount of €89 million, listed on the Euro MTF market of the Luxembourg Stock Exchange. The CMS team advised on all aspects of French, English and German law.

The Paragon group has successfully completed a second bond issue for €89 million, via its English subsidiary Grenadier Holdings Plc. The issue was oversubscribed by €39 million compared with the initial demand, demonstrating market interest in the placement. As with the previous issue for €52 million, completed in December 2016 under similar conditions, the bonds bear interest at a rate between 4% and 5% a year, rate which may be adjusted depending on the level of the leverage ratio, and mature on 6 April 2025.

The transaction, arranged by Crédit Agricole Corporate and Investment Bank, was a private placement of bonds for institutional investors (Euro PP), with a listing on the Euro MTF market of the Luxembourg Stock Exchange. The bonds benefit from a guarantee governed by English law granted by the holding company Paragon Group Ltd.

The Paragon group is a world leader in customer communications, identification and digital graphics services. The Paragon group provides comprehensive technology services in terms of digital innovations and smart data to enable responsive and meaningful interactions between organisations and their customers. With turnover of more than €736 million, the group operates in 12 countries and has nearly 6,000 employees.

For this transaction, the CMS team, led by Marc-Etienne Sébire, Partner and Head of Capital Markets at CMS France, comprised:

• CMS France: Marc-Etienne Sébire, Partner, Myriam Issad, Associate, and Pierre Maunand, Lawyer;
• CMS UK: Michael Cavers, Partner and Kirsty Templar, Associate; and
• CMS Germany: Oliver Dreher, Partner.

Frank Lipworth, Partner in Cabinet Lipworth, advised the issuer.

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Expertise: Capital markets