Shearman & Sterling represented Barclays Bank PLC, Deutsche Bank AG, London Branch, Goldman Sachs International, and Morgan Stanley & Co. International & plc as initial purchasers in Edcon (Proprietary) Limited’s €317 million and US$250 million high yield bond offering. The proceeds of the offering will be used for general corporate purposes, including the refinancing of certain hedging obligations and existing indebtedness of Edcon. The firm also represented Absa Capital, a division of Absa Bank Limited, as facility agent in connection with Edcon’s senior revolving credit facility. Shearman & Sterling had also advised the arrangers and initial purchasers of the ZAR 26 billion acquisition financing for the acquisition of Edcon in 2007.

Edcon is the largest non-food retailer in South Africa. Its leading brands include Edgars, Jet, CNA, Boardmans and Red Square, which are among the most recognizable brands in the region.

The Shearman & Sterling team of lawyers in the firm’s London and New York offices was led by capital markets partner Ward McKimm. He was assisted by associates Cedric Van den Borren, Joji Ozawa, and Mike Kung and international trainee Tim Odendahl. Partner Bernie Pistillo and associate Shiu-Kay Hung advised on tax aspects of the offering. Finance partners Caroline Leeds Ruby, Clifford Atkins and Mei Lian advised on the senior revolving credit facility. They were assisted by associate Camilla Hunter and trainees Kate Kimpton and Matthew Anson.