Grupo CIRSA Agrees Conditions On €615m Bond

Grupo CIRSA’s board of directors has agreed to conditions on a new €615 million debt-bond placement, which will assist the Spanish gambling business in improving its financial liquidity by refinancing prior loan arrangements.

The bond will have an annual interest rate of 4.5 percent, with a maturity date of 2027, and will be underwritten by BBVA, Barclays, Deutsche Bank, Jefferies, and UBS.

Corporate governance advised investors that the transaction would be used to refinance a $495 million loan tranche with a 7.8 percent interest rate that was taken out in 2018.

All additional money will be used to pay off a €663 million loan tranche with a 6.25 percent interest rate underwritten by private equity firm Blackstone, which owns CIRSA.

CIRSA confirmed that it has withdrawn its plans to utilise a €55 million revolving credit facility as a result of recent financial developments.

Improved year’s projection

With a robust COVID-19 recovery, CIRSA improved its year projection, posting a YTD income of €404 million and EBITDA of €110 million, helping the Spanish gaming giant lower its operational losses by 45 percent to €105 million.

In addition, CIRSA said that it had restructured its Colombian market activities, allowing its Sportium Colombia sportsbook brand to unite with its Winner Group CIRSA land-based casino business.

Following the merger, CIRSA will develop a new Colombian igaming brand with the goal of becoming the market’s leading omni-channel offering.

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About Debbie Hewlett

Debbie is an internet journalist with many years of writing experience with a focus on bingo and gaming. Debbie has written reviews and useful information for gamers and readers on a variety of websites.