Slaughter and May is advising The Restaurant Group on its £175 million equity raise and long-term refinancing

Slaughter and May is advising The Restaurant Group plc (“TRG”), the owner of the Wagamama and Frankie & Benny’s brands, on its £175 million equity raise, structured as a firm placing and placing and open offer, and its entry into £500 million of new debt facilities, comprising a £380 million term loan facility and a £120 million super senior revolving credit facility.

The purpose of the equity raise, which is subject to shareholder approval at a general meeting scheduled to be held on 29 March 2021, is to enhance liquidity, accelerate deleveraging and support selective site expansion in TRG’s Wagamama and Pubs businesses. The equity raise is fully underwritten by Investec Bank plc and J.P. Morgan Cazenove.

The new debt facilities provide TRG with enhanced liquidity and long-term financing, with the term loan and super senior revolving credit facility maturing in 2026 and 2025 respectively. The new debt facilities will be used to repay and refinance the group’s existing debt facilities and the Wagamama notes, which are all due to reach maturity on or before July 2022.

Slaughter and May has been working closely with Cravath, Swaine & Moore LLP, who advised on matters of US law.