The challenge
Virgin Active, a leading international health and fitness club, had a ZAR5.1-bn debt structure that needed to be refinanced. There was also a requirement to shift some equity into cash at a shareholder level.
The RMB solution
Acting as sole debt co-ordinator, joint underwriter and joint mandated lead arranger, RMB used its Solutionist Thinking approach to advised, develop and structured a ZAR5.1-bn refinance package for Virgin Active, that would benefit Virgin Active, its shareholders and the financial markets through syndication. The deal showed collaboration across a number of speciality capabilities in the business, including Leveraged Finance, corporate finance advisory, syndication, working capital and hedging (across IBD, CB and GM). The deal also had a cross-border component as one of the shareholders is Virgin Group in the UK.
Proven results
RMB developed one of the largest corporate debt underwrites to date – positioning the health club operator for future growth.
| Client | Virgin Active |
|---|---|
| Deal value | R5.1-bn |
| Sector | Healthcare |
| Capabilities | Corporate finance advisory, leveraged finance, syndication, working capital, hedging, cross-border capabilities. |
| RMB's role |
Sole debt co-ordinator, joint underwriter and joint mandated lead arranger |