LONDON, March 7 (Reuters) - British packaging firm Linpac, could be split up and sold by its lenders, according to the Financial Times.
Linpac, which makes plastic food packaging for retailers and food manufacturers, was taken over by its lenders in a debt for equity deal last year after it ran into trouble as a result of rising commodity costs, volatile raw material prices and the decline in sterling.
The lenders, including Deutsche Bank and Lloyds Banking Group have hired Bank of America Merrill Lynch as advisors to discuss strategic options for the firm, which could include the break-up and sale of its four divisions, the FT said.
The paper also said that lenders to British bar and restaurant chain Bay Restaurant Group, which owns the Slug & Lettuce pubs, were planning to sell off its La Tasca and Ha Ha Bar and Grill restaurants.
Last year the company secured a new three-year 150 million pound loan with Commerzbank of Germany and Iceland's Kaupthing.
No one at Linpac or Bay Restaurant Group could immediately be reached for comment.
(Reporting by Caroline Copley; Editing by Diane Craft) Keywords: LINPAC/ (caroline.copley@thomsonreuters.com; +44 20 7542 7717) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Linpac, which makes plastic food packaging for retailers and food manufacturers, was taken over by its lenders in a debt for equity deal last year after it ran into trouble as a result of rising commodity costs, volatile raw material prices and the decline in sterling.
The lenders, including Deutsche Bank and Lloyds Banking Group have hired Bank of America Merrill Lynch as advisors to discuss strategic options for the firm, which could include the break-up and sale of its four divisions, the FT said.
The paper also said that lenders to British bar and restaurant chain Bay Restaurant Group, which owns the Slug & Lettuce pubs, were planning to sell off its La Tasca and Ha Ha Bar and Grill restaurants.
Last year the company secured a new three-year 150 million pound loan with Commerzbank of Germany and Iceland's Kaupthing.
No one at Linpac or Bay Restaurant Group could immediately be reached for comment.
(Reporting by Caroline Copley; Editing by Diane Craft) Keywords: LINPAC/ (caroline.copley@thomsonreuters.com; +44 20 7542 7717) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.