News and Analysis
Platinum-owned Petmate reorganizes with lenders set to take the keys
- Max Reyes
•1 min read
Platinum Equity-backed Petmate has reached an agreement that will hand lenders control of the company while reducing its debt levels.
The maker of pet products said in a statement Wednesday that 100% of its lenders agreed to the transaction, which will eliminate over $600m of funded debt and infuse $50m of new equity capital into the company.
Lenders previously injected $50m in new money into the company, according to the statement. Petmate earlier this year created an unrestricted subsidiary to pave the way for a financing deal, a source said.
The lender group consists of “sophisticated private equity and credit institutional investors” and includes Gamut Capital Management, Petmate said.
Milbank acted as counsel to Petmate, with FTI Consulting serving as financial advisor and PJT Partners as investment banker.
Gibson Dunn acted as counsel to the first lien group of lenders while Houlihan Lokey acted as investment banker. Ropes & Gray represented the second lien lender group as legal counsel with Lazard acting as the investment banker.
