Loyens & Loeff advised Swissport on the group’s successful restructuring
Loyens & Loeff advised Swissport during negotiations with its creditors and on the implementation of its restructuring which completed on 21 December 2020.
The restructuring was implemented by means of a debt-for-equity swap, deleveraging and strengthening the group balance sheet by addressing around €1.9 billion of existing debt, and leaving the business with improved liquidity. As part of this debt-for-equity swap, ownership of Swissport was transferred to a group of financial investors led by the former senior secured lenders of the Group. The restructuring addressed the financial challenges that the Swissport Group faced due to the coronavirus pandemic and provided sufficient liquidity for future continued operations.
The restructuring, led by the Luxembourg companies in the group, was implemented through a scheme of arrangement combined with a pre-packaged sale of the Swissport business out of Administration. This follows Swissport’s initial scheme of arrangement, which was initiated in 2020, enabling the borrowing of a €300 million super senior interim facility. Each of these schemes were supported by a chapter 15 recognition order from the US Bankruptcy Court.
Swissport is the global leader of ground services and cargo handling for the aviation industry. It is active in over 300 airports in 50 countries and employs around 65,000 people.
Loyens & Loeff restructuring team acted as Luxembourg counsel to Swissport, putting together corporate and finance experts, providing another example of Loyens & Loeff restructuring team’s involvement in many recent large and complex cross border debt restructurings. This team effort was led by the Corporate restructuring partner Michael Scott, with associates Madeleine Marques and Diogo Morgado Filipe. The Luxembourg team further consisted of Finance partner Anne-Marie Nicolas, with senior associate Alvaro Garrido Mesa and associates Martina Benackova, Richard Steichen and Ignacio Jimenez Guardiola. Litigation team colleagues were also involved in the matter.
Michael ScottPartner Attorney at law / Solicitor / Avocat à la Cour
Michael Scott, partner, is a member of the Corporate Practice Group in our Luxembourg office and co-heads the Luxembourg Restructuring Team. He focuses on private equity transactions, mergers and acquisitions and distressed debt restructurings. He mainly advises US and UK based clients investing through Luxembourg to European or other target jurisdictions.T: +352 466 230 294 M: +352 691 963 026 E: email@example.com
Madeleine Marques, associate, is a member of the Corporate practice group in our Luxembourg office and a member of the Restructuring Team. She focuses on private equity transactions, mergers and acquisitions and distressed debt restructurings.T: +352 466 230 211 E: Madeleine.Marques@loyensloeff.com
Diogo Morgado FilipeAssociate Attorney at law
Diogo Morgado Filipe, associate, is a member of the Corporate practice group in our Luxembourg office and a member of the Restructuring Team. He focuses on corporate restructurings, Private Equity, M&A, Corporate Finance and general Corporate Law.T: +352 466 230 594 E: firstname.lastname@example.org
Anne-Marie NicolasPartner Attorney at Law / Avocat à la Cour
Anne-Marie Nicolas, partner, is a member of the Banking & Finance Practice Group in our Luxembourg office. She co-heads the Luxembourg Restructuring Team. Anne-Marie focuses on secured lending, including acquisition finance and real estate finance, as well as debt restructuring.T: +352 466 230 314 E: email@example.com
Richard SteichenAssociate Attorney at law
Richard Steichen, associate, is a member of the Banking & Finance Practice Group in our Luxembourg office and a member of the Restructuring Team. He focuses on secured lending and financial restructurings.T: +352 466 230 492 E: firstname.lastname@example.org
Ignacio Jiménez GuardiolaAssociate Attorney at law
Ignacio Jiménez Guardiola, associate, is a member of the Banking & Finance Practice Group in our Luxembourg office and a member of the Restructuring Team. He focuses on secured lending, including acquisition and real estate finance and in capital markets transactions.T: +352 466 230 615 E: Ignacio.Jimenez.Guardiola@loyensloeff.com