Cerba - comment

The long-awaited cooperation agreement at Cerba is now in place. It is reported that 66% of senior creditors have signed the agreement, ensuring that any potential transaction will treat all senior creditors pari passu. The steering committee is entitled to additional fees for leading the negotiations, but the agreement is expected to prevent the ad hoc group from increasing the relative priority of its portion of senior debt.

However, despite the agreement being in place, negotiations with the Company have not yet begun. The Company is advised by Gibson Dunn and Rothschild. The RCF banks are advised by Evercore and Paul Hastings, with the 1st lien creditors advised by Millbank, Wilkie Farr and PJT.