Trafigura Group set to take control of Nyrstar
April 15 () - Belgian metals and mining company Nyrstar's major shareholder Trafigura Group is set to take control of the company as part of a recapitalisation plan, Nyrstar said on Monday.
Nyrstar said it would sell its operating group to a newly incorporated subsidiary, NewCo. As part of its recapitalisation, commodities trader Trafigura will be issued 98 percent share capital of NewCo.
Trafigura will provide up to $250 million of secured financing to Nyrstar in order to keep its operations afloat in the interim period, Trafigura in a separate statement.
Trafigura said the financing would be in addition to the $650 million working capital facility granted to Nyrstar in November.
Rating agency S&P downgraded Nyrstar's bonds last month after the miner deferred payment of coupons due on its 2019 and 2024 bonds as it held restructuring talks with shareholders.
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