London Diary Owner IFFCO Taps Rothschild for $2 Billion Debt Rejig - Bloomberg

London Diary Owner IFFCO Taps Rothschild for $2 Billion Debt Rejig - Bloomberg

IFFCO Group has turned to a new adviser as it works to restructure about $2 billion in debt owed to banks including HSBC Holdings Plc, according to people familiar with the matter.

The United Arab Emirates-based conglomerate has mandated Rothschild & Co., replacing Alvarez & Marsal, which had previously been advising on the process, the people said, asking not to be identified because the information isn’t public.

Rothschild will focus first on shoring up liquidity and leading negotiations with creditors, the people said. The Paris-based advisory firm is also expected to explore fresh funding options and potential sales of non-core assets.

While IFFCO’s lenders include several Dubai and Abu Dhabi banks, HSBC is among the most exposed, one person said.

Creditors are working with PwC on the possible restructuring, which could rank among the largest in the Middle East in recent years, Bloomberg News has reported.

The deliberations are ongoing, and a restructuring deal may ultimately not materialize.

Representatives for IFFCO, which operates brands including London Dairy ice creams, Tiffany biscuits and LDC Kitchen & Coffee chain, did not respond to multiple requests for comment. Rothschild, A&M and HSBC declined to comment.

The Middle East has seen several major debt restructurings since 2020. Saudi Binladin Group revamped an estimated $15 billion, while in the UAE, NMC Health Plc restructured about $7 billion and KBBO Group, $2 billion.

Established in 1975, IFFCO operates in about 50 countries, with a portfolio spanning food, packaging, chemicals and logistics, according to its website. It traces its origins to the India-based Allana Group, which has traded agricultural commodities since 1865.