REG - Esken Limited - Intention to appoint administrators to the Company

EskenAnnouncement

21/03/2024 09:00

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RNS Number : 7782H  Esken Limited  21 March 2024

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of domestic law by
virtue of the European Union (Withdrawal) Act 2018.

21 March 2024

ESKEN LIMITED

("Esken" or the "Company")

Intention to appoint administrators to the Company

Suspension of listing of the Company's shares

Esken, the aviation group, announces that, further to the announcement on 6
March, the Company has concluded (following detailed advice from advisers)
that implementation of the proposed restructuring plan in relation to the
Company has ceased to be commercially viable. While restructuring plans are
becoming more common for English registered companies, additional issues arise
under Guernsey law in relation to Guernsey registered companies (such as
Esken) where the plan results in compromising the rights of members (as is the
case for the proposed plan in relation to the Company).

Esken has therefore concluded that there is unacceptable risk associated with
the court process to achieve the proposed outcome, which could also take
considerable time to execute.

Therefore, after detailed consideration of the Company's current financial
situation, and absent any further viable proposals to deliver a stable
solution to the challenges faced by the Company, the board has now regrettably
concluded that the Company should be placed into administration in order to
protect the interests of stakeholders.

Accordingly, the directors of the Company have resolved to file documents in
court today to appoint administrators from AlixPartners UK LLP to the Company.
That application is expected to be approved by the court over the course of
the day.

Placing the Company into administration does not breach the Recapitalisation
Support Agreement, as announced on 6 March, and therefore is not expected to
have any impact on the recapitalisation proposal being implemented in relation
to London Southend Airport, which will continue to remain fully operational
and funded under that proposal.

In light of the above, the listing of the Company's ordinary shares has been
suspended with immediate effect.

Enquiries:

Esken Limited    C/o Teneo

 

Teneo

Olivia Peters

+44 7902 771008

esken@teneo.com

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