As announced in the press release dated 2 November 2017, Aligera AB (publ):s subsidiary Aligera Holding AB (publ) (the "Subsidiary") resolved to cancel its interest payment falling due on 7 November 2017 under the Subsidiary's up to SEK 500,000,000 senior secured bonds (ISIN SE0005933231) (the "Bonds") and concluded that the Subsidiary at the end of the third quarter 2017, did not fulfill its financial covenant in relation to minimum cash according to the terms and conditions of the Bonds (the "Terms and Conditions").
The Subsidiary has on 9 November 2017 entered into a standstill agreement with a group of the Subsidiary's larger bondholders (the "Bondholder Committee"). The purpose of the standstill agreement is to grant the Subsidiary sufficient time to agree on the terms for a restructuring and to conclude a written procedure (the "Written Procedure") where the bondholders formally resolve on the terms for the restructuring. Information in relation to the Written Procedure will be made publicly available as soon as possible.
The standstill period will expire on the earlier of (i) 7 January 2018 and (ii) the date when the Written Procedure has been completed.
According to the terms and conditions of the standstill agreement, the Bondholder Committee shall instruct Nordic Trustee & Agency AB (publ) (the "Agent") not to accelerate the Bonds and/or enforce the guarantees and/or security assets granted as security for the Bonds during the standstill period, provided that, inter alia:
(i) the Subsidiary and its affiliates (including Aligera AB (publ) and Green Extreme AB (publ) do not become insolvent or initiate or become subject to insolvency proceedings;
(ii) the Subsidiary is not in breach of and does not breach the Terms and Conditions (otherwise than by the non-payment of interest on 7 November 2017 and the breach of the minimum cash covenant as per 30 September 2017);
(iii) the Subsidiary ensures that the group (consisting of the Subsidiary and its subsidiaries from time to time) maintains a minimum cash of at least SEK 2 million;
(iv) the Subsidiary grants the Bondholder Committee the opportunity to perform a legal, financial and technical due diligence review of the Subsidiary and its affiliates and undertakes to cover the costs for such due diligence review;
(v) the Subsidiary collects power of attorneys from a sufficient majority of the shareholders of the parent company, Aligera AB (publ), authorising the implementation of a restructuring of the Subsidiary (which may concern a conversion of bondholders' claims on the Subsidiary to shares in Aligera AB (publ));
(vi) the Subsidiary does not make any CAPEX investments without the Bondholder Committee's written consent; and
(vii) the Subsidiary agrees on a term sheet in relation to the restructuring with the Bondholder Committee no later than 29 November 2017 (the “Term Sheet”).
The Agent has confirmed that it will consider the standstill agreement and that it will, maintaining its discretion and provided that the Written Procedure is initiated directly when the Term Sheet has been agreed at the latest, not accelerate the Bonds and/or enforce the guarantees and/or security assets granted as security for the Bonds for the time being.
For information, please contact:
Jörgen Bender, CEO
Tel: +46 (0) 722 372020