Media Centre - Henry Davis York

HDY advises U.S. investment manager on Emeco's $400 million recapitalisation

Henry Davis York is advising U.S. alternative investment manager Black Diamond Capital Management, L.L.C. on its involvement in the recapitalisation of ASX-listed Emeco Holdings Limited.

As announced to ASX, the recapitalisation involves the merger of Emeco with two complementary mining services businesses, a creditors' scheme of arrangement, a fully underwritten $20 million rights issue to existing Emeco shareholders and a number of ancillary transactions.

Black Diamond, as the largest holder of Emeco's 9.875% senior secured notes (due in March 2019 (face value approximately US$160 million)), a joint underwriter of the rights issue and a placee of additional shares, may hold up to third of Emeco's shares on completion of the recapitalisation.

In addition to assisting Black Diamond negotiate the various agreements (and ancillary arrangements) necessary to effect the recapitalisation, HDY advised Black Diamond on the Australian statutory and court processes, regulatory and shareholder (and noteholder) approvals.

Lead partner Cameron Cheetham said it was "great to assist Black Diamond on this complex cross-border recapitalisation which positions Black Diamond to maximise its return on its investment in Emeco."

Cameron Cheetham, with Corporate partners Robert Tracy and Ted Nixey led our team on this complex multi-jurisdictional transaction. Our partners were supported by Corporate Senior Associate Joel Farina.


Katie Stidwill
Director of Business Development & Strategic Projects
T +61 2 9947 6617