Casino - Comments

Casino has launched a partial tender of its 2025 and 2026 outstanding bonds at 96.625% and 95.5% respectively. This is financed by the Segregated Cash already on the account and the recent tap of the Term Loan B. We calculate that there is c.€500m available for HY bond purchases. Note there is €145m segregated solely to repurchase Senior Secured Debt, as a result of the restrictions concerning the Term Loan B tap financing.

But ultimately, this is just tinkering on the edges for Casino. Casino is not going to deleverage Casino France without a sale of individual assets, and with the extension of Rallye Secured debt via the Sauveguarde agreement, there is no time pressure on Casino to sell down assets. Apart from paying some bankers fees, this tender is broadly irrelevant. We think this is all a distraction, and Casino should be focusing on funding the capital requirement needed at Cnova instead.