Casino - comment

Casino confirmed last night that they have bought back a further €67m of the Quatrim 2024 (secured) bonds with the balance of the Senior Secured Segregated Account. Post this transaction, the balance of the Quantum bonds are €653m outstanding with zero balance in the Senior Segregated Account. In the other (non Secured) Segregated Account is €35.7m, sufficient to meet the outstanding Jan 2023 bonds. The next upcoming maturities are the Quantrim bonds, due in Jan 24 (€653m) and the Unsecured March 2024 bonds (€529m).

Casino also announced at the end of October a potential transaction that would sell down a stake in Assai for c.$500m. If this completes it will remove a significant amount of the credit concern at the front end of the Casino curve, but we would also expect the longer end to benefit from reduced default risk. Subsequent focus will return to operational performance and the all-important Q4 quarter.