Luxury yacht maker completes debt restructuring

Troubled Italian luxury yacht company Ferretti announced yesterday that it has finalised the plans for its debt restructuring.

According to the press release, the company will reduce its long-term debt from €1.1 billion to €550 million through the conversion of credits into exit participation rights.

Furthermore, €85 million of new money, €70 million of which will be underwritten by the chairman Norberto Ferretti and management, and €15 million of which will be underwritten by Mediobanca-Banca di Credito Finanziario, will help increase its capital base.

In addition to extending €24 million of short-term facilities to medium-term facilities, Ferretti will also have €65 million in medium-term credit facilities to fund working capital requirements.