The glassmaker again in cash flow will be bailed out by his shareholder, the public authorities and a mystery “private lender”.
Arc International, the French glassmaker born in Arques (Pas-de-Calais), needed 20 million euros in new money to cover its cash flow over the next few months. It will finally be bailed out by 45 million euros, the Ministry of Industry said on Wednesday morning. Creditors and shareholders have agreed to meet the financing needs of the glassmaker who has already called on the State for help three times before this new rescue.
The Lille commercial court has yet to approve the financing plan in December. Shareholder of Arc since its takeover in 2015, the American fund PHP should provide 16 million euros in equity, the public authorities as much (14.7 million euros in loans by the State, one million from the Hauts region -de-France and 300,000 euros from the community of Saint-Omer). A new private lender, whose name has not been disclosed, will also put 13 million euros on the table. In addition, a subsidy of 4 million euros is allocated to the company by the State as part of the recovery plan for the decarbonisation of the industry. “ This is good news for the 4,500 employees in Saint-Omer, welcomes the Ministry of Industry. This ends three months of negotiations under the aegis of the Interministerial Committee for Industrial Restructuring (Ciri) “. The actors of this round of table hope that this is the last time they give to the pot.
The Confident State
Last September, despite a good order book, Arc International executives once again sounded the alarm. The additional costs linked to the surge in raw materials but also the delays in the reconstruction of its ovens and the hitches linked to the deployment of new software and the outsourcing of its packaging had been pointed out.
But this time, the state says it is confident in the new management team. “ Governance is closer to the field, we assure Bercy. The management levels have been shortened. An audit carried out last summer had addressed management issues and operational difficulties. “. An external consultant should ensure the follow-up of this refinancing plan.