Spanish special seamless tube supplier Tubos Reunidos (TR) is reducing debt in compliance with its strategic plan, Kallanish notes.
The company has held an auction among the financial institutions holding convertible debt in shares, buying this at a discount. This resulted in a debt reduction of €107 million ($116.4m). In addition, TR has allocated €7.5m for repaying all special financing provided as Covid-19 support by the Spanish Credit Institute (ICO) in 2020.
“These actions represent one step more to achieving the stability of the company and the execution of our strategic plan,” says TR chief executive Carlos López de las Heras.
The group’s new steelworks came into operation in October, significantly boosting TR’s competitiveness. “Our higher-added-value production is linked to the energy transition and decarbonisation processes and will allow us to address new markets and sectors of activity. With this investment we have practically completed our industrial reorganisation, guaranteeing solid growth,” the ceo adds.
In 2019, TR reached an agreement on the terms and conditions of the refinancing of its debt with its main creditor banks, in which tranches of convertible debt and convertible bonds were structured for an initial amount of €172m (see Kallanish passim).
Todor Kirkov Bulgaria
