Oneida Auctions As Restructuring Looms

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Oneida Auctions As Restructuring Looms

A $30 million piece of Oneida was sold last week around the 82 1/2 range.

A $30 million piece of Oneida was sold last week around the 82 1/2 range. It was unclear why the paper changed hands, but one buyside source said some lenders are realizing that the capital structure is going to change and they do not want to wait out the process. Oneida is in discussions with lenders and potential new financing sources to restructure its existing debt and maintain liquidity, according to company statements.

Oneida also recently announced that it had obtained further extensions to waivers it received from covenant violations until June 15. J.P. Morgan is the agent for the credit. The paper traded in the low 80s about a month ago, slipping from around the 90 level after talks with an unnamed private equity investor failed. Carl Marks Consulting Group has been retained as a strategic advisor and chief restructuring officer and the company has also retained Peter J. Solomon Co. as a strategic financial advisor. An Oneida spokesman declined comment.

 

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