Appleby Bermuda and BVI advise in relation to $4.4 Billion Digicel restructuring

Published: 8 Feb 2024

Type: Deals

Appleby advised in relation to the $4.4 Billion in the aggregate Digicel restructuring. Digicel is the leading provider of mobile phone networks and home entertainment services in 25 markets across the Caribbean, Central America and Asia Pacific. Digicel International Finance Limited and certain subsidiaries had entered into a Restructuring Support Agreement in June 2023 (“RSA”) the terms of which were to be implemented by way of Bermuda schemes of arrangement (“Scheme”). The RSA and Scheme which closed on January 29, 2024, entailed certain creditors equitising a substantial portion of their existing debt instruments. The equitisation, along with a broader refinancing and extension of other debt instruments in the group’s capital structure, resulted in Digicel’s funded indebtedness being reduced by $1.7 billion.

Primary Contact

Gary Harris

Partner: Bermuda

T +1 441 298 3278
E [email protected]

Primary Contact

Shana Simmonds-Lewis

Partner: BVI

T +1 284 393 5325
E [email protected]

Gary Harris, Shana Simmonds-Lewis, Lalita Vaswani, Jane Walker, Larissa Dziubenko

The security and guarantees in relation to the Existing Debt were amended and/or restated (with Wilmington Savings Fund Society, FSB (“WSFS”) as the new Administrative Agent, Collateral Agent and Trustee) to secure the new obligations under the New 1L Secured Notes and the New 1L Credit Agreement in relation to each relevant local jurisdiction.

Appleby acted as Bermuda and BVI counsel for WSFS and the lenders under the various transaction documents, advising upon security document requirements in connection with the entry into the new 1L Secured Notes and the New IL Credit Agreement.

Partners Gary Harris (Bermuda) and Shana Simmonds (BVI) led the transaction with support from Counsel Lalita Vaswani (Bermuda), Senior Associate Jane Walker (Bermuda), and Associates Larissa Dziubenko (Bermuda) and Maddalena Biasiol (BVI). The Appleby team worked alongside Akin and ArentFox Schiff LLP on this transaction.