Grifols Rises 3% After Ensuring that It Will Be Able to Meet Debt Maturities

Grifols shares rose 2.99% to 8.2 euros, following the crash it experienced on the Ibex 35 on Thursday, when it registered falls of up to 12.22% , in a context also marked by the latest updates to the Catalan company‘s rating by the credit rating agencies Moody’s and Fitch.

However, the firm moderated its momentum on the Madrid selective to 1.08%, with its shares at 8.05 euros, around 9:30 in the morning. Specifically, the blood derivatives company stated on Wednesday after the market closed that it has already received the 1.6 billion and will allocate it entirely to the payment of the debt that expires in 2025 and 2027, according to information provided by Grifols to the National Securities Market Commission (CNMV).

Grifols assures that it has 2,400 million euros of liquidity

“Consequently, the company will fully pay the debt maturities of 2025, without having any additional maturities until 2027,” said the company, which also stated that it maintains a “solid liquidity position”, with more than 2.4 billion euros. at the end of June .

The company also stated that the debt ratio estimates at the end of June following the sale of Shanghai Raas are 5.4x, compared to 6.8x recorded in March. Free cash flow for the second quarter is expected to be positive, maintaining the guidance of reaching a free cash flow of five million at the end of the year, which includes an extraordinary 480 million.

Scranton, the family office with which the Grifols family consolidates its control of the capital of the Catalan multinational

Following the publication this Thursday in El Confidencial that CaixaBank, Bbva and Sabadell have refused to refinance their part of the loan of 400 million euros of debt with immediate maturity of Scranton Entreprises BV, Grifols has recalled that Scranton is a “separate entity” that does not It is consolidated in your accounts. Scranton is the family office with which the Grifols family consolidates its control of the capital of the Catalan multinational.

According to the digital newspaper, CaixaBank, the main creditor, with almost seventy million lent, “has opposed extending the Grifols’ liabilities until 2029”, given that the entity led by Gonzalo Gortázar “has not accepted the proposal of the businessmen, who had requested to extend the 400 million loan for five years with full amortization at the end of it, that is, with the bullet type modality.”

Likewise, BBVA and Banco Sabadell, which granted it twenty and forty million euros in each case, have not accepted either, according to the same sources. However, some international entities were in favour of extending the maturity of this debt, but the refusal of CaixaBank and Banco Sabadell, and “BBVA’s doubts have made renewal impossible.”

Regarding Grifols’ rating, Fitch Ratings yesterday reviewed the outlook for the Catalan firm’s long-term credit rating, from negative to stable, and confirmed it at B+, while Moody’s lowered it this Wednesday to B3 from B2.

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(Featured image by Yorgos Ntrahas via Unsplash)

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