Brazil's GPA strikes deal with creditors to halve obligations

Casino Guichard Perrachon SA

06/05/2026 11:21

SAO PAULO, May 6 (Reuters) - Brazilian retailer GPA PCAR3.SA has reached a deal on a new out-of-court debt restructuring plan with creditors holding 57.49% of claims covered by the proposal, totaling 4.57 billion reais ($930.30 million), the company said late on Tuesday.

The plan targets a reduction of more than 50% in total obligations over time, GPA said in a securities filing.

Upon confirmation, averag maturity will be extended to 6.4 years; average cost cut to CDI +0.5% per annum

Plan includes up to 1.1 billion reais in convertible local debt instruments known as debentures, with four conversion windows in first-half 2027, 2029, 2030, and 2031

New financing of up to 200 million reais to be provided by participating creditors

Plan expected to reduce GPA's disbursements by more than 4 billion reais over the next two years

GPA, which runs supermarket chain Pao de Acucar and has long struggled with high debt levels, had first filed for out-of-court restructuring in March

GPA shareholders include the Coelho Diniz family and France's Casino CASP.PA

($1 = 4.9124 reais)

 (Reporting by Gabriel Araujo. Editing by Mark Potter)

 ((Gabriel.Araujo2@thomsonreuters.com; +55 11 5047-3352;))