GMT Communications Partners has refinanced the senior debt facilities of portfolio company Redext, a company formed in 2005 to acquire three independent outdoor advertising groups in Spain.
GMT Communications Partners (“GMT”), the leading European independent private equity group focused exclusively on the communications sector has successfully completed the refinancing of its portfolio company Redext’s senior debt facilities. The refinancing was agreed with the Company’s pre-existing lenders, BBVA, Banesto and CAM. All three banks will continue their long-standing relationship with Redext, providing it with €26.5m of senior debt facilities. The new debt facility will be used to refinance the existing acquisition facility and provide working capital.
Redext was established in 2005 to acquire three independent outdoor advertising groups in Spain (IEPE, Soportes and Impursa). The combined group sells advertising space on large format billboards as well as on urban furniture. Redext owns approximately 600 monopostes, mainly located around large cities, and 70 urban furniture advertising concessions across Spain. The urban furniture business operates exclusive long-term (12 to 15 year) contracts in tourist towns along the eastern coast of Spain.
Clifford Chance provided legal advice to Redext. Allen & Overy acted as legal advisors to BBVA, Banesto and CAM.
Antonio Sanchez de Leon, CEO, Redext commented:
“I am very pleased to have completed this refinancing which shows our lending banks’ continued support and belief in Redext’s business model, despite a difficult market environment. Although the outlook for outdoor advertising in Spain is challenging, our own performance remains stable and I believe there are significant market opportunities which we can take advantage of.”
Jonathan Gillbanks, Managing Director, GMT commented:
“Redext is a strong business with a great future, and its new senior debt facility will provide the right structure for the Company to successfully execute its growth plans. It is a testament to the success of the business to date, and to its future prospects that the banks are committed to participating in Redext’s future plans.”
About GMT Communications Partners (www.gmtpartners.com)
GMT Communications Partners is a European independent private equity group focused exclusively on the communications sector, having actively invested in the European marketplace for the past 16 years. GMT is focused on providing buyout and expansion capital for high growth companies. As industry practitioners, GMT focuses heavily on developing new strategic directions for established businesses that are able to benefit from new communication technologies. Since its foundation in 1993, GMT has invested in 28 companies and completed over 100 transactions across 18 countries, exclusively in European media/communications.