The Quarto Group’s $93 Million Refinancing of Group Debt

October 31, 2018

Cleary Gottlieb acted as counsel to the major shareholders of The Quarto Group Inc. (Quarto), an LSE-listed global illustrated book publisher group, in the refinancing of the group’s debt.

On October 31, 2018, Quarto reached an agreement with its banking syndicate to extend the maturity of its $80 million senior facilities to August 31, 2020. The revised facilities incorporate an immediate reduction in bank debt and a subsequent amortization program. As part of the agreement with the banking syndicate, the company’s larger shareholders have agreed to provide unsecured and subordinated loans to the company totaling $13 million. These loans are repayable by August 31, 2020, and will be used to reduce bank facilities and to provide additional working capital.

Quarto creates a wide variety of books and intellectual property products for global distribution in more than 50 countries and 40 languages, and employs more than 350 people in the U.S., UK, Hong Kong, and Australia. It is based in the U.S. and listed on the London Stock Exchange.