HLRE Holding Oyj initiates a written procedure to request certain amendments to the terms of its bonds

HLRE Holding Oyj initiates a written procedure to request certain amendments to the terms of its bonds

HLRE Holding Oyj (the "Company") has instructed the agent for the Company's senior secured bonds (ISIN SE0015530712) (the "Bonds"), Nordic Trustee & Agency AB (publ) (the “Agent”), to initiate a written procedure to request that bondholders vote in favour certain amendments to the terms and conditions of the Bonds (the “Written Procedure”). The largest holder of the Company’s bonds, holding approximately 66.67 per cent. of the outstanding nominal amount of the Bonds (the "Majority Holder"), has agreed to vote in favour of such amendments.

During Q4 2023, the Company initiated discussions with the Majority Holder to find a long-term financing solution by amending certain provisions of the Terms and Conditions, including inter alia a three-year maturity extension. The discussions have successfully been concluded, and a solution has been agreed. The solution will be announced in due course, as soon as all practical aspects have been resolved. However, as the maturity of the outstanding bonds, being 12 February 2024, is approaching, the Company is requesting its bondholders to extend the maturity by one month in order to provide time to finalise the updated documentation. If the Written Procedure is approved, the maturity of the Bonds will be extended to 12 March 2024. Additionally, the Company is requesting to reduce the interest rate payable on 12 February by postponing payment of the floating rate margin from to Company’s upcoming interest payment, i.e. the Company would pay only three months STIBOR for the interest period ending on 12 February 2024, and the postponed floating rate margin will instead be payable on 12 March 2024.

The Agent will deliver the notice of a written procedure to all bondholders on 30 January 2024. The written procedure will end on 23 February 2024. To be eligible to participate in the written procedure a holder must fulfil the formal criteria for being a bondholder on 31 January 2024. This means that the holder must be registered on a securities account with Euroclear Sweden AB as a direct registered owner (Sw. direktregistrerad ägare) or authorised nominee (Sw. förvaltare) with respect to one or several Bonds.

Pareto Securities Oy has been retained as financial advisor in connection with the written procedure.

The notice of a written procedure is available on the Company's website (www.vesivek.fi/en/investors/) and on Stamdata (www.stamdata.com).

 

For additional information, please contact:

Jari Raudanpää

CFO

+358 40 566 6399

jari.raudanpaa@vesivek.fi

 

 

Important information:

This information is by HLRE Holding Oyj required to disclose under the EU Market Abuse Regulation. The information was submitted for publication on 30 January 2024 at 18.20 EET.