Blackstone covenants deprive Refinitiv holders of premiums

Blackstone
By Karoliina Liimatainen
01 Aug 2019

Refinitiv bondholders will likely not receive the full sum of the make-whole premiums that apply to the bonds if London Stock Exchange Group refinances all of them before their call date. An equity claw clause will allow Refinitiv to refinance 40% of the bonds at a cheaper rate.

This equity claw, regularly used in bond documents in Blackstone-sponsored leveraged buyouts, is designed to make it easy for the sponsor to pile debt on a company and sell it on quickly.  

“The real takeaway is that the equity claw language, like all language in Refinitiv’s covenants, ...

Please take a trial or subscribe to access this content.

Contact our subscriptions team to discuss your access: subs@globalcapital.com

Or sign up for a trial to gain full access to the entire site for a limited period.

Free Trial

Corporate access

To discuss GlobalCapital access for your entire department or company please contact our subscriptions sales team at: subs@globalcapital.com or find out more online here.