The family company Reverté, specialized in the production of calcium carbonates, has managed to restructure its debt of 42 million euros thanks to an agreement with several financial entities, among which CaixaBank and Banc Sabadell stand out.
Sources close to the operation explain that the agreement has been approved by the judge as a consensual restructuring plan, a figure promoted by the bankruptcy reform. In addition, Reverté has put its Mexican subsidiary up for sale for 35 million dollars (32 million euros).
The family business, founded in 1958 in Castellet y la Gornal (Alt Penedès), has reached this situation due to the pandemic and a financial imbalance from the past. In fact, the firm refinanced 30 million debt in 2019. At that time, it also intended to incorporate an investment partner to reduce liabilities and remodel its factories in Spain, but its plans were cut short with the arrival of the pandemic. The health crisis, and especially the subsequent rise in energy prices, left the company in a more compromised situation with the banks since it was unable to bring in any partner. However, the “business was never in jeopardy,” these sources say.
The restructuring plan has been signed with the financial institutions and approved by the judge
In fact, revenues grew slightly: they were 47 million in 2020 and 52 million in 2021 while losses reached 4 and 5 million respectively. “In 2022, billing remained at 52 million, with a recurring gross profit (ebtida) of 6 million.” The workforce has remained at 185 employees, distributed among the 6 extractive plants in Catalonia, Andalusia and Mexico.
With a new business plan and the approved restructuring plan, the firm is now recovering financial balance and faces the future with more strength. The terms of the agreement guarantee the return of all the loans within a period of 6 years, as well as the maintenance of long-term working capital lines. “There are no deficiencies or reductions, the repayment terms of the credits have simply been modified,” these sources say. The agreement has had the support of the vast majority of entities, except Abanca, which has 3%. In addition, the agreement contemplates the entry of the public-private entity Cofides, which has invested 7 million through the Fonrec vehicle to boost the company’s growth.
The restructuring plan leaves out commercial and public creditors, to whom the company owes another 17 million euros. The Mexican subsidiary, which operates a factory in the state of Durango, has also refinanced its debt, worth another 30 million euros. It has done so under the commitment to put the business up for sale, an operation that is already at an advanced stage.
The entire process has had the advice of EY, as an expert in restructuring, KPMG, as financial advisor to Reverté, Cuatrecasas, as a bank advisor, and Figueras Legal, as an advisor to the company.