Smurfit in €250m debt pay down

PAPER and packaging giant, Smurfit Kappa Group (SKG) has extended its debt maturity profile to over five years, in a move which management sees as enhancing the company’s financial flexibility.

The Dublin-headquartered international packaging specialist announced, yesterday, the completion of a €250 million five-year trade receivables securitisation programme, the proceeds of which will go towards refinancing SKG’s existing €210m securitisation programme — which has a September 2011 maturity — and repaying a portion of bank debt when fully drawn.

SKG’s chief financial officer, Ian Curley, said management’s continuing financial priority is debt reduction and de-leveraging. “We’re pleased to have successfully completed this five-year securitisation programme, which highlights our proactive debt capital structure management.