REG - Amigo Holdings PLC - Scheme of Arrangement: Creditors' Meeting Update

Amigo HoldingsAnnouncement

12/05/2021 15:10

RNS Number : 4272Y
  
Amigo Holdings PLC
  
12 May 2021
  
 

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
FOR IMMEDIATE RELEASE                                                                                                         12 May 2021
 
Amigo Holdings PLC
("Amigo" or the "Company")
 
Scheme of Arrangement: update on creditors' meeting
Amigo Holdings PLC (LSE: AMGO), a leading provider of guarantor loans in the UK, provides an update on the Scheme of Arrangement (the 'Scheme') of ALL Scheme Ltd ('SchemeCo') announced on 25 January 2021, following the completion of the Creditors Meeting held on 12 May 2021.
Amigo is pleased to announce that, of the creditors who chose to vote, 95.09% by number representing 95.72% by value, voted in favour of the Scheme. In total, the Company has received 74,877 votes in favour of the Scheme and 3,863 votes against the Scheme, with values of £230,744,046 in favour and £10,319,764 against.
The Scheme requires more than 50% of all creditors who vote to vote in favour, and the total value of their claims to represent at least 75% of the value of the claims of all creditors who vote. In order to become effective, the Scheme requires sanction by the Court. The Court hearing to sanction the Scheme of Arrangement is listed to be held on 19 May 2021.
Gary Jennison, Chief Executive Officer of Amigo, commented: "Our customers have voted overwhelmingly in support of the Scheme, showing that customers due redress believe that the Scheme is the fairest and best option for them. We are naturally disappointed by the FCA's stated intentions to oppose the Scheme.
If the Scheme is not approved by the Court, then Amigo is highly likely to enter into administration. This will deny mis-sold customers access to a share of the compensation to which they are entitled and will also have a significant impact on the many millions of UK adults who cannot access mainstream credit. The new Board and management hopes that the voting and views of Amigo's past and present customers are listened to and they are not denied the compensation they are entitled to. We strongly believe that the Scheme is the best for all our customers - past, present and future - and the only way for Amigo to continue to be part of the solution for providing financial inclusion in the UK."
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014. The person responsible for this announcement is Roger Bennett, Company Secretary.
 
Company
Amigo Holdings PLC        investors@amigo.me                                      
Kate Patrick                        Head of Investor Relations         
Roger Bennett                  Company Secretary                                       
 
Media
Hawthorn Advisors         amigo@hawthornadvisors.com                
Lorna Cobbett                   Tel: +44 (0) 7771 344 781
Notes to Editors:
§ £15.0 million in cash will initially be made available for claims under the Scheme, with up to a potential further £20.0 million dependent on the volume of claims received from current customers relating to loans with outstanding balances. Amigo will continue to be responsible for all customer balance adjustments in full.
§ Amigo will make an annual cash contribution to the Scheme based on 15.0% of pre-tax profit for the next four financial years beginning on 1 April 2021 up to 31 March 2025.
Additional information
This announcement is not intended to, and does not, constitute or form part of any offer, invitation or the solicitation of an offer to purchase, otherwise acquire, subscribe for, sell or otherwise dispose of, any securities, or the solicitation of any vote or approval in any jurisdiction, pursuant to this announcement or otherwise.
Senior Secured Notes
This announcement constitutes notice by Amigo Luxembourg S.A. (the "Issuer") to the holders of the Issuer's 7.625% Senior Secured Notes due 2024 (for the notes issued pursuant to Rule 144A of the United States Securities Act of 1933, ISIN: XS1533928468 and Common Code: 153392846; for the notes issued pursuant to Regulation S of the United States Securities Act of 1933, ISIN: XS1533928625 and Common Code: 153392862) (the "Notes") issued pursuant to pursuant to Section 4.03(a)(3) of an indenture dated January 20, 2017 among, inter alia, the Issuer, the guarantors named therein and U.S. Bank Trustees Limited, as trustee and security agent.  Amigo Holdings PLC is the indirect parent company of the Issuer. This announcement shall constitute a "Report" to holders of the Notes.
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