Lenders successfully pushed back against a controversial disqualified counsel restriction in Vitamin Well’s docs, according to 9fin sources. High watermarking was also removed from the docs, sources added.
9fin reported sponsors Cinven and Bridgepoint had tried to include a disqualified counsel list (lawyer DQ list) for any potential restructuring. It was the first time this had been attempted in Europe, having appeared in the US nearly a year ago.
"That’s language I have never seen clearing the market before,” a buysider said of initial docs. “They played this one too aggressively.”
Barclays, Citi and UBS are joint global coordinators. Citi and UBS are joint physical bookrunners on the euros, while Barclays is physical bookrunner on the dollars.
Initial docs also include anti co-op language and omnibasket capacity, sources added.
A co-op ban has been attempted multiple times before (e.g. Essential Home, Kereis, Motel One and Stepstone), but has been removed from the deals.
We previously wrote how European investors are resolute against anti co-op language, despite the struggle for paper.
Omnibasket capacity would allow the issuer to reallocate covenant capacity across covenants. It has previously been described as a “catch-all reallocation provision” in our analysis...
