Cloud 9fin

Drop-downs, the Lycra variant

May 18, 2023
This episode discusses Lycra's unique variant of the drop-down mechanism and its last-minute refinancing of its 2023 notes. The podcast explores how Lycra used intellectual property to create a new SPV and pledged assets outside the restricted group as collateral. It also analyzes the impact of the new transaction on existing bondholders and their capacity to make restricted payments or secure debt.
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1
Introduction
00:00 • 4min
2
Understanding the Lycra Variant and Drop Down Transactions
03:38 • 4min
3
A Transaction, Intellectual Property, and Company Projections
07:56 • 2min
4
Analysis of Existing Bondholders' Perspective on a New Transaction
10:13 • 2min