CC advises Deutsche Bank, ING, Natixis and UniCredit on US$2.3 bln debt restructuring for Metinvest

Clifford Chance has advised Deutsche Bank, ING, Natixis and UniCredit in their capacity as the coordinating committee for the pre-export finance banks in connection with the successful implementation of a US$2.3 billion debt restructuring for Metinvest. Metinvest is a vertically integrated group of Ukrainian steel and mining companies and one of the largest producers of iron ore raw materials and steel in the CIS.

The restructuring involved a rescheduling of the Group's pre-export finance bank debt as well as its note debt and was undertaken against a backdrop of volatile commodity prices, closed capital markets for Ukrainian issuers and exceptionally difficult circumstances in the east of Ukraine. Its successful implementation is a remarkable achievement for Metinvest and its stakeholders.

The restructuring was implemented through an English law scheme of arrangement sanctioned by the High Court of Justice of England and Wales. The remarkably high level of creditor consent to the restructuring (in excess of 90% by value across the bank debt and notes) is testament to the result achieved by the coordinating committee representing the pre-export finance banks and the ad hoc committee representing the noteholders.

The Clifford Chance team was pleased to be able to work with the coordinating committee and its other advisors, including Alvarez & Marsal as financial advisor and Redcliffe Partners as Ukrainian legal advisor, to bring this landmark restructuring to a successful conclusion.

The Clifford Chance team was led by Alistair McGillivray in London. He was supported by Adam Fadian from the Moscow office, Jared Grubb from the Istanbul office, Jelle Hofland and Ilse van Gasteren from the Amsterdam office and law firm Redcliffe Partners in Kyiv. Adrian Cohen and Natalie Mills from the restructuring and insolvency practice in London led on the scheme of arrangement and advised on the restructuring generally. Other lawyers included Tim Lees, Shuyan Tan, Natalia Veryasova, Anna Booth, Charlotte Spierings, Christina Gu, Sasha Kobyasheva and Michael Anderson.