Bio Pappel secures loan, seeks to delist

Mexico-based papermaker borrows $400 million from a combination of banks.

July 1, 2021

Mexico City-based Bio Pappel S.A.B. de C.V. says it has secured a loan for $400 million “to refinance its debt at lower interest rates and a longer maturity, as well as to finance expansion plans.”

The producer of recycled-content paper and board says the loans range in term from five to seven years and involved five different banks: Credit Suisse, Scotiabank, BBVA, Inbursa and Santander

Also in June, Bio Pappel announced that “an affiliated company” called Enverlis S.A. de C.V. has initiated a tender offer to delist the papermaker from the Mexican Stock Exchange.

“The offeror has obtained authorization from the National Banking and Securities Commission to carry out a tender offer to acquire” nearly 7.5 million shares of the company (about 2.6 percent total shares), “which represents all the shares among the general investing public,” states a news release issued by Bio Pappel.