Cleary Gottlieb represented lead arrangers Citigroup, Deutsche Bank and Goldman Sachs on the innovative “covenant lite” revolving credit facility for Unity Media in connection with its €1.5 billion refinancing and acquisition of the Bundesliga broadcasting franchise.
Cleary Gottlieb also represented Grohe Holding GmbH in a “covenant lite” senior revolving credit facility in connection with its €1.3 billion refinancing.
Unlike typical revolving credit facilities, these did not have regularly tested “maintenance-style” financial covenants but instead had “incurrence-style” covenants. This is a novel type of financing recently imported into Europe from the United States.