PE-backed Covalent Materials Averts Bond Default

Cash-strapped Japanese semiconductor materials maker Covalent Materials Corp., backed by private equity firms Carlyle Group LP and Unison Capital, has struck a deal with its bondholders to buy back some of the securities, thereby averting a default, Reuters wrote. The company said in July that it did not have enough cash to repay 53.3 billion yen ($679 million) in bonds maturing in February and sought extension of the maturity date. Later it had also offered to buy back the bonds at 76 yen against the face value of 100 yen.

DealsNorth AmericaUSBriefs