Synlait's banks relax debt covenant

Synlait founder John Penno has stepped back into the CEO role. (Photo: Synlait)

Fri, 30 Jul 2021

Synlait Milk's banks have relaxed the milk processor's maximum debt levels and extended the maturity of various facilities.The company has announced it has refinanced its maturing syndicated banking facilities and final documentation will be completed within weeks.The key change is that its banks, ANZ and BNZ, will now allow its total indebtedness to reach as much as 4.5 times earnings before interest, tax, depreciation and amortisation (ebitda), up from the previous covenant of four times.The milk processor said in May it was in discus...

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