Ambipar Lux S.a r.l.: Ambipar agreement - more than meets the eye…maintain OW

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Ambipar Lux S.a r.l.: Ambipar agreement - more than meets the eye…maintain OW

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Ambipar Lux S.a r.l.

Ambipar agreement - more than meets the

eye…maintain OW

Company Update

Ambipar and bondholders executed a favorable agreement 13 July 2026 Corrected

On July 8th, Ambipar Participacoes e Empreendimentos SA (Ambipar) and Environmental Global Emerging Markets | Corporate

ESG Participacoes S.A (ESG) announced that they had entered into a restructuring Credit

support agreement (RSA) with a majority of holders of its $550mn 9.875% 2031 and LatAm | Brazil

Utilities$494mn 10.875% 2033 bonds issued by Ambipar Lux Sarl. Pursuant to the agreement,

holders of the 2031/33 bonds will exchange into new $925mn, seven-year notes with a Jorge Ordonez

10% coupon (New Notes). The New Notes, will be PIK for 18 months (first cash payment Research Analyst

BofAS

on 12/31/2028) and thereafter pay 2% PIK, 8% cash interest semi-annually. The New +1 646 855 3085

Notes will be secured with collateral including 100% of the equity interests in a new jorge.ordonez@bofa.com

bankruptcy remote Newco that will hold all first-tier subsidiaries of ESG and 40% of Witt Anne Milne

Research Analyst

O’Brien shares on a first lien basis plus an additional 50% of Witt O’brien shares initially BofAS

on a second lien basis with the first a lien basis commencing as Itau BBA International anne.milne@bofa.com

(Itau) loans are amortized. Note this implies an 11.4% notional haircut excluding accrued.

The RSA also contemplates a reprofiling of a $90mn loan with Itau.

Exhibit 1: Maintain OW AMBIBZ 31/33

Its all about the dynamics of Brazilian RJ Indicative pricing as of 7/13/26

The transactions agreed upon in the RSA will need to be approved in Brazilian court. The Bond Price Rec Yld Spd