Marfrig Seeks Bond Covenant Waivers

Marfrig says it is initiating a consent solicitation to holders of $375m worth of 9.625% coupon 2016 bonds. The Brazilian meatpacker wants to amend restrictive covenants and waive past non-compliance with other covenants. The company claims that its acquisitive growth and diversification strategy were hindered by the covenants, and it seeks operational flexibility. Marfrig is offering holders $30 per $1,000 principal amount of notes if they accept by March 25. Credit Suisse is handling the process.