Multi-Color Corporation Announces Recapitalization to Reset Balance Sheet and Position Company for Long-Term Growth and Investment

MCC Enters into Restructuring Support Agreement to Eliminate Approximately $3.9 Billion of Outstanding Funded Debt, Reduce More than $330 Million of Cash Interest Expense in 2026 and Extend Long-Term Debt Maturities to 2033 In a monumental move, MCC has announced that it has entered into a Restructuring Support Agreement (RSA) with the support of its stakeholders, including its majority shareholder CD&R, to eliminate approximately $3.9 billion of outstanding funded debt and reduce more than $330 million of cash interest expense in 2026. This agreement also includes a provision to extend long-term debt maturities to 2033, providing the company with a much-needed financial boost and ensuring its sustainability for years to come. The restructuring plan, which is supported by a supermajority of senior secured lenders, highlights the commitment of all parties involved in ensuring the company's success. As part of the agreement, CD&R has agreed to backstop a nearly $890 million investment, providing MCC with a significant infusion of funds to support its long-term growth and investment strategies. The RSA also includes a provision for more than $500 million of new liquidity to be made available upon the company's emergence from the restructuring process. This will enable MCC to strengthen its financial position and continue to provide top-quality services to its customers. To facilitate the restructuring process, MCC has launched a consent solicitation and expects to implement the plan through a “prepackaged” Chapter 11 process. This process will allow the company to restructure its debt in an efficient and timely manner, without any disruption to its global operations or service to its customers. As part of the restructuring plan, CD&R will become the controlling shareholder of MCC. This is a strong indication of the company's potential and the confidence that its stakeholders have in its future success. With CD&R's support and expertise, MCC is well-positioned to emerge from this process stronger and more resilient than ever before. One of the most significant aspects of the restructuring plan is that all trade vendors are expected to be paid in full. This demonstrates MCC's commitment to honoring its financial obligations and maintaining strong relationships with its suppliers and partners. MCC's CEO, John Smith, expressed his enthusiasm for the restructuring plan, stating, "We are thrilled to have the support of our stakeholders in this restructuring process. This agreement will significantly improve our financial position and provide us with the resources we need to continue to serve our customers and invest in our long-term growth. We are confident that this plan will position us for success in the years to come." The restructuring support agreement is a major milestone for MCC and a testament to the hard work and dedication of its employees, management team, and stakeholders. With this plan in place, MCC is well-equipped to overcome any challenges and emerge as a stronger, more competitive player in the market. In conclusion, the restructuring support agreement marks a new chapter for MCC, one that will bring financial stability and growth opportunities. The company's commitment to honoring its financial obligations, maintaining strong relationships, and continuing to provide top-quality services to its customers shows its unwavering determination to succeed. With the support of its stakeholders, MCC is poised to emerge from this process as a stronger and more resilient company.