Margarita Louis-Dreyfus took $1 billion from Credit Suisse in 2019 to buy out minority shareholders of Louis Dreyfus Company and committed her majority stake in the commodities dealer as collateral, a company filing confirmed.
The mortgage was used to buy a 16.6% stake in the firm from other members of the family, and the share commitment means if Margarita Louis-Dreyfus can’t repay or refinance the loan, Credit Suisse might take hold of the 169-year previous business.
Margarita Louis-Dreyfus, who assumed management of the 169-year-old buying and selling a house in 2009 on the demise of her husband Robert, sought the mortgage as the buying and selling firm was attempting to settle the expensive buyout of minorities and revive plunging earnings.
She introduced last January that she had accomplished the purchase of 16.6% of LDC’s holding firm from different family members, bringing her stake to around 96%.
LDC had previously indicated that its majority owner had obtained a bank loan to finance the buyout, without offering more particulars.
An annual filing by Akira B.V., which represents the household trust led by Margarita Louis-Dreyfus, stated it had borrowed $1.03 billion from Credit Suisse on or about January 25, 2019.
LDHBV, short for Louis Dreyfus Holding B.V., is the structure that has the family’s shares in LDC.
The amount borrowed by Akira adopted a settlement on November 2, 2018, beneath which Credit Suisse would offer a maximum of $1.075 billion in relation to Akira’s buyout of other LDC shareholders, the filing confirmed.