Briggs & Stratton Corp. has hired Houlihan Lokey Inc. as restructuring advisers to help rework debt that will begin coming due this year, reports Bloomberg, ahead of a June 15 interest payment on unsecured bonds that mature in December.
Bloomberg reports that some holders of these notes have organized and are working with Gibson Dunn & Crutcher LLP and Imperial Capital LLC to advise them in talks with the company.
According to the report,
“While we are tackling some short-term challenges, the strong historic underpinnings of Briggs & Stratton’s business — built over our 110+ year history — give us confidence in the future of our company,” spokesman Rick Carpenter said in an emailed statement. “We remain focused and well-positioned to continue to serve our customers’ needs.”
According to company filings, Briggs & Stratton’s $195 million of unsecured bonds mature in December, and if any of them remain outstanding on Sept. 15, the company’s 2024 revolving credit line would need to be repaid immediately. The manufacturer had borrowed $402 million on the credit line as of March 29, reports Bloomberg.
The full report can be found here.