Legal DealFolio - Agrokor Acquisition of Poslovni Sistem Mercator

Slaughter and May advised Agrokor d.d. (Agrokor) on its acquisition of a majority stake of the Slovenian retail chain Poslovni sistem Mercator, d.d. (Mercator); this acquisition has, in turn, triggered a mandatory takeover process in Slovenia. Completion of the initial acquisition occurred on 27 June 2014 and Agrokor announced its intention to make a mandatory takeover offer on 2 July 2014. Agrokor is one of the leading food and retail companies in Central and South Eastern Europe and the largest privately owned company in Croatia. Together Agrokor and Mercator shall generate almost EUR 7 billion of annual revenues and employ more than 64,000 people. Slaughter and May advised Agrokor on multiple aspects of transaction, including the raising of finance for the acquisition (in particular the English law aspects of a EUR 485 million syndicated PIK toggle loan facility with Deutsche Bank as lead bookrunner), the restructuring of Mercator's approximately EUR 1 billion debt (which was a condition to completion of the initial acquisition), certain competition requirements and general advice on coordination and process. The total debt and capital raised amounted to EUR 544 million, of which up to EUR 324 million will be used for the acquisition of Mercator share capital (both under the initial acquisition and subsequent mandatory takeover process), EUR 200 million for deleveraging Mercator and EUR 20 million for the working capital requirements of Mercator. Financing: Andrew McClean (partner), Mark Dwyer (partner), Katherine Best (associate), David Coates (associate), Caroline Phillips (associate), Jamie Macpherson (associate), Oliver Storey (associate), Thomas Coates (associate); Corporate: John Papanichola (partner), Richard Smith (partner), Robert Innes (associate); Competition: Anna Lyle-Smythe (partner), Anthony Hartley (associate).

Deal Date:	02-07-2014	Practice Area:	Corporate and M&A
Deal Title:	Agrokor Acquisition of Poslovni Sistem Mercator	Industry:	General Retailers
Description:	Slaughter and May advised Agrokor d.d. (Agrokor) on its acquisition of a majority stake of the Slovenian retail chain Poslovni sistem Mercator, d.d. (Mercator); this acquisition has, in turn, triggered a mandatory takeover process in Slovenia. Completion of the initial acquisition occurred on 27 June 2014 and Agrokor announced its intention to make a mandatory takeover offer on 2 July 2014. Agrokor is one of the leading food and retail companies in Central and South Eastern Europe and the largest privately owned company in Croatia. Together Agrokor and Mercator shall generate almost EUR 7 billion of annual revenues and employ more than 64,000 people. Slaughter and May advised Agrokor on multiple aspects of transaction, including the raising of finance for the acquisition (in particular the English law aspects of a EUR 485 million syndicated PIK toggle loan facility with Deutsche Bank as lead bookrunner), the restructuring of Mercator's approximately EUR 1 billion debt (which was a condition to completion of the initial acquisition), certain competition requirements and general advice on coordination and process. The total debt and capital raised amounted to EUR 544 million, of which up to EUR 324 million will be used for the acquisition of Mercator share capital (both under the initial acquisition and subsequent mandatory takeover process), EUR 200 million for deleveraging Mercator and EUR 20 million for the working capital requirements of Mercator. Financing: Andrew McClean (partner), Mark Dwyer (partner), Katherine Best (associate), David Coates (associate), Caroline Phillips (associate), Jamie Macpherson (associate), Oliver Storey (associate), Thomas Coates (associate); Corporate: John Papanichola (partner), Richard Smith (partner), Robert Innes (associate); Competition: Anna Lyle-Smythe (partner), Anthony Hartley (associate).
Financial Center:	London	Value:	500.01-1000.00
Advised Party:	Acquiror	Law Firm	Slaughter and May
Target Company Jurisdiction:	Slovenia	Acquiror Jurisdiction:	Croatia
Classification:	Strategic Buyer Acquisitions Public Company - Recommended Offer	Lawyer	Andrew McClean

Practice Areas -

Corporate and M&A Law Firms and Lawyers

Practice Areas - Corporate and M&A Law Firms and Lawyers