Ardagh Group - comment
The SSNs are turning the screw over the crumbs being offered to the current shareholders at Ardagh Group (AG) in the restructuring. Inevitably, the equity in AG will eventually end up with the SUN holders via conversion; if that happens immediately or later is a moot point. AG will be boxed in by the security package offered to the creditors. The €50m increase in the SSN at NewBidCo is immaterial in the grand scheme. The €600m SSN is >3x covered by the ordinary equity value of AMP. The remaining part of the update is mainly about coupons.
The SSNs have proposed that only the Ardagh Metal Packaging (AMP) ordinary shares be sold to NewBidCo (equity to be 20% by SUN holders and 80% by Coulson and others). The $260m AMP preference shares would remain held by AIHS (directly owned by AG). Additionally, the SUNs would no longer immediately take the shares of AG, instead they will receive a third lien PIK convertible into shares of AG.