A&O advises on first-ever green high yield bond issuance to support a European LBO

The deal marks the first-ever green high yield bond issuance to support a European LBO. The deal is also the first LBO and single B rated bond involving a debut issuer in the European high yield market in 2023.

High yield partner John Kicken, who led the A&O team, commented: “We are pleased to bring another first to the European high yield market and contribute to its ongoing development as we help clients navigate the energy transition.”

Headquartered in Madrid, Amara NZero is a B2B distributor of products and services used in the energy transition to a low-carbon economy. Amara NZero serves as a value-added supply chain partner for suppliers and clients, offering a comprehensive portfolio of products and services across three divisions: renewables (solar, wind and hydro), electrification and energy transition services. Cinven announced the acquisition of its majority stake in Amara Nzero in April, with the existing sponsor ProA Capital and management retaining minority stakes. Allen & Overy advised the banks on the committed financing in support of the acquisition.

The transaction was led by high yield partner John Kicken and finance partner Charles Poole-Warren, supported by associates Sampada Bannurmath, Valerio Di Mascio, Ariel Aiash and Paridhi Srivastava. Finance partners Juan Hormaechea and Tom Wilkinson in Madrid and Pietro Scarfone in Milan also advised on the transaction.

Allen & Overy previously advised on the final single B rated debut bond of 2022 when it acted for Hunkemöller on the last LBO involving a debut issuer in the European high yield market that year.