RMB partners with SPAR on R4.5bn debt solution

RMB partners with SPAR on R4.5bn debt solution to support their strategic refocus

As a long-term partner, primary banker, trusted advisor, and funder to the SPAR Group Limited (“SPAR”), RMB has played a pivotal role in their growth journey, most recently as the Joint Initial Mandated Lead Arranger (“JLMA”) and Joint Bookrunner on the structuring and raising of a R4.5 billion debt package. This is the latest in a series of strategic initiatives aimed at helping SPAR optimise its capital structure and position for long-term competitiveness and sustainability.

“Over the years, RMB has supported SPAR across transactional, funding, risk management and advisory services. Recently, we were appointed as a debt advisor, providing an objective view on the Group’s capital structure. This process included an in-depth assessment of SPAR’s evolving business needs, funding strategy and capital deployment priorities across their Southern African and European operations,” says Tsholanang Kgosimore, Senior Transactor at RMB.

Following the conclusion of the advisory mandate, RMB co-funded a R2 billion bridge facility and provided the necessary currency hedging solution, which enabled SPAR to settle its Polish debt obligations and successfully exit the market – a key strategic milestone in the Group’s repositioning. This was followed by a R4.5 billion syndicated term loan debt raise, which RMB led as JLMA and Joint Bookrunner, and was successfully concluded in March 2025.

RMB’s meaningful participation across the working capital, bridge and syndicated term loan facilities underscores their commitment to SPAR. The recent syndicated term loan transaction has helped them to optimise their debt structure and support future strategic execution. This, alongside optimised capital structuring, has positioned SPAR for more sustainable operations, increased flexibility and enhanced competitiveness within the South African retail landscape.

“RMB’s role as a critical partner on this journey underscores our ongoing commitment to supporting SPAR as a strategic client. Overcoming the complexities inherent in this deal demonstrates our ability to leverage deep advisory expertise, structuring capability and balance sheet strength to guide our clients through complex transitions,” Kgosimore concludes.