Codere completes recapitalisation and secures financial stability
In addition to lowering its debt, Codere has also secured €60m in new liquidity.
Key points:
– Codere’s recapitalisation reduces net debt to €65m, equivalent to 0.5 times 2023 adjusted EBITDA
– The company secures €60m in new liquidity to boost its business plan
– Codere is now positioned for expansion in key Latin American and European markets
Grupo Codere has successfully concluded its global recapitalisation process, a development that hopes to usher in a new phase of financial stability and growth for the company.
The recapitalisation has significantly reduced Codere’s gross corporate debt from approximately €1.4bn ($1.52bn) to €190m, resulting in a consolidated net debt of around €65m.
This figure represents just 0.5 times the 2023 adjusted EBITDA (before IFRS16), marking a notable improvement in the company’s financial health.
In addition to debt reduction, Codere has secured an injection of approximately €60m in new liquidity. This capital infusion is expected to fuel the company’s business plans and enhance its overall solvency.
The transaction received support from Codere’s creditors, with over 99% approval across most key financial instruments.
Commenting on the development, Gonzaga Higuero, CEO of Grupo Codere, stated: “The transaction is a decisive success for Codere, a guarantee for the future that secures our financial position and relaunches the company’s ability to achieve the growth objectives set.
“We appreciate the trust of our clients, the support of our investors and the commitment of our team. We are ready to generate value for all our stakeholders.”
With its newly optimised debt structure and increased liquidity, Codere hopes to capitalise on expansion opportunities in its key markets across Latin America and Europe.
This news comes after a largely successful Q2 2024 report for Codere Online. The report showed that total revenue came to €51.7m, with net gaming revenue (NGR) coming to €54.4m – up 39% year-on-year.
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