Warsaw team advises senior lenders of Cersanit on new financing

Global law firm Norton Rose Fulbright advised the senior lenders of Cersanit S.A. on intercreditor arrangements and amendments to its existing finance documentation in connection with a new €42m loan made available to it by European Bank for Reconstruction and Development. These lenders included Bank Polska Kasa Opieki S.A. as the agent, the security agent and original lender and mBank S.A., ING Bank Śląski S.A., Santander Bank Polska S.A., BNP Paribas Bank Polska S.A., Powszechna Kasa Oszczędności Bank Polski S.A. as original lenders.

The Warsaw team conducted complex intercreditor negotiations on behalf of senior lenders’ syndicate, with European Bank for Reconstruction and Development as a pari passu senior creditor and companies from Cersanit Group as a borrowers and obligors.

The new funding will be used to finance Cersanit’s investment projects, including completion of a project for manufacturing large-format ceramic tiles in Ukraine and reconstruction of an acrylics products factory in Poland destroyed by a fire outbreak. This list includes also completion of energy efficiency upgrades and other modernization investments in Poland.

Cersanit S.A. is a European leader in production and distribution of ceramic tile and bathroom equipment. Cersanit Group operates mainly in Poland and across Europe, expanding its footprint over the Middle East, Central Asia and North Africa.

The Warsaw team was led by counsel Jacek Smardzewski supported by associate Michał Rutkowski, who led the security work stream. The transaction team worked under the supervision of Grzegorz Dyczkowski who heads the Warsaw office and the firm’s Warsaw banking and finance practice.

The English and German law advice was provided by the London and Frankfurt offices of Norton Rose Fulbright. Integrites advised on the Ukrainian aspects of law and Ionescu Sava the Romanian aspects.