NOVARES
Financing of EUR 146m to secure continued business
 What’s next for the French car supplier? (Image: Novares)
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After less than a month under bankruptcy protection, French automotive supplier Novares (Paris; www.novaresteam.com) has received financing to continue business. Buyout offers from competitors Akwel and Samvardhana Motherson are now off the table (see Plasteurope.com of 20.05.2020).
Novares will receive a total of EUR 146m. Of this, EUR 71m is financing from banks, and EUR 45m comes from existing shareholders Equistone and Bpifrance. In addition, the latter two acquired an additional EUR 30m stake in Novares that also reduces the company’s short-term liquidity shortage. Nanterre’s commercial court has approved the deal for this continuation plan.
According to Novares, this means that its factories in the US that were closed as a result of Covid-19 can be restarted as soon as local regulations permit. The automotive supplier operates in 23 countries and has a total of 45 manufacturing plants. After receiving the EUR 45m cash injection from Equistone and Bpifrance on 18 May, it could begin reopening 13 of its 19 manufacturing sites in Europe.
Novares will receive a total of EUR 146m. Of this, EUR 71m is financing from banks, and EUR 45m comes from existing shareholders Equistone and Bpifrance. In addition, the latter two acquired an additional EUR 30m stake in Novares that also reduces the company’s short-term liquidity shortage. Nanterre’s commercial court has approved the deal for this continuation plan.
According to Novares, this means that its factories in the US that were closed as a result of Covid-19 can be restarted as soon as local regulations permit. The automotive supplier operates in 23 countries and has a total of 45 manufacturing plants. After receiving the EUR 45m cash injection from Equistone and Bpifrance on 18 May, it could begin reopening 13 of its 19 manufacturing sites in Europe.
03.06.2020 Plasteurope.com [245244-0]
Published on 03.06.2020
German version of this article...