The move effectively reduces the company's total outstanding debt by $100 million, a step aligned with Burford’s stated goal of long-term de-leveraging. Management opted for this shorter-term issuance over a traditional refinancing, citing current credit spreads as unattractive for a longer-term commitment. By clearing the 2028 obligation now, the firm aims to remove market uncertainty surrounding its balance sheet.
In section Releases
Burford Capital Clears Debt Maturity in $300 Million Issuance
Burford Capital has successfully closed a $300 million debt issuance, securing the funds in under six hours with an order book ten times oversubscribed. By combining this new capital with $100 million in cash, the firm will retire its April 2028 debt maturity nineteen months ahead of schedule.
CEO Christopher Bogart described the transaction as the closing of a "noisy chapter," noting that while the recent appellate decision in the YPF matter was unexpected, the firm’s core portfolio remains robust. Burford plans to file a petition to the U.S. Supreme Court regarding the YPF case by the end of September. Looking ahead, the firm intends to pursue further opportunistic de-leveraging through open market debt purchases while focusing on its underlying litigation finance business, which has generated nearly $4 billion in cash over the past 17 years.
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