Inside information disclosure pursuant to Art. 17 of the Market Abuse Regulation 596/2014
Ad-hoc 3W Power / AEG Power Solutions: Stakeholders grant additional financing of up to 5 million EUR
October 11, 2017, Luxembourg / Zwanenburg, The Netherlands. 3W Power S.A. (ISIN LU1072910919, 3W9K), the holding of AEG Power Solutions Group, today announced that, following last month’s announcement regarding the need for balance-sheet restructuring and measures to improve liquidity and as part of such final step of the group’s financial restructuring, the group has signed an amendment to the facility agreement in place since December 2016 with existing stakeholders. In parallel, a third-party expert has been mandated to prepare a restructuring opinion for the group and to validate the group’s business planning and the restructuring measures required for the envisaged balance-sheet restructuring.
Pursuant to the signed finance documents, an additional bridge facility of up to 5 million EUR is being granted to AEG Power Solutions B.V. to finance potential working capital needs in the group until finalization of the third-party expert restructuring opinion; finalization of such opinion is expected to occur mid to end of November 2017. The additional financing will carry interest of 9.5% and will be secured against additional group assets. With such additional bridge facility the total senior financing amounts to 20 million EUR and remains within the basket of senior ranking and secured financial indebtedness permitted by the bondholder resolution dated January 2017 (ISIN: DE000A1ZJZB9 / WKN: A1ZJZB).
Once validated by the restructuring expert opinion, the company will seek for binding restructuring agreements with key stakeholders on required restructuring measures and thereafter proceed with necessary implementation steps, including in particular invitations to bondholder and shareholder meetings of the company. The Board of 3W Power S.A. assumes that the required restructuring measures can be implemented, and will closely monitor and assess the likelihood of the restructuring process going forward.
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