In 2020, AetherAI Innovations issued €750 million in 3-year bonds under significantly different macroeconomic conditions than those in 2023, particularly with higher interest rates. The company’s credit profile has improved notably since the bond issuance. AetherAI Innovations, a European shoe manufacturer and retailer, now seeks to raise an additional €250 million to fund its expansion, necessitating the refinancing and restructuring of the existing bond.

In the meantime, interest rates and credit spreads have evolved significantly since the bond’s issuance. For example, 2-year, 5-year, and 10-year Treasury rates have seen notable changes, impacting the market view of investors. Additionally, the liquidity of AetherAI Innovations' bonds in the secondary market varies based on the volume of trades, affecting bond prices.

This case study involves multiple negotiation rounds, with outcomes dependent on stakeholder decisions throughout the process.