Brief: Stockmann: Proposal For Co's Restructuring Programme Is Filed

Lindex Oyj

14/12/2020 06:52

Dec 14 (Reuters) - Stockmann Oyj Abp  STCBV.HE :
    * PUBLISHING OF THE PROPOSAL FOR STOCKMANN PLC'S
RESTRUCTURING
PROGRAMME
    * IN ACCORDANCE WITH DRAFT RESTRUCTURING PROGRAMME COMPANY
HAS EUR
433.5 MILLION IN SECURED RESTRUCTURING DEBT
    * RESTRUCTURING PROGRAMME IS BASED ON CONTINUATION OF
STOCKMANN'S
DEPARTMENT STORE OPERATIONS
    * IN ACCORDANCE WITH DRAFT RESTRUCTURING PROGRAMME CO HAS
EUR
195.7 MILLION IN UNSECURED RESTRUCTURING DEBT AND EUR 108.1
MILLION IN HYBRID BOND DEBT, TOTALLING EUR 736.9 MILLION
    * RESTRUCTURING PROGRAMME IS BASED ON SALE AND LEASE-BACK OF
DEPARTMENT STORE PROPERTIES LOCATED IN HELSINKI, TALLINN AND
RIGA
    * RESTRUCTURING PROGRAMME IS BASED ON CONTINUATION OF
LINDEX'S
BUSINESS OPERATIONS UNDER OWNERSHIP OF STOCKMANN GROUP.
    * AS PART OF RESTRUCTURING PROGRAMME, COMPANY WILL SELL REAL
ESTATE ASSETS IT OWNS IN HELSINKI, TALLINN AND RIGA
    * PRICE RECEIVED FOR REALISATION OF COMPANY'S REAL ESTATE
ASSETS
WILL PRIMARILY BE USED TO PAY SECURED DEBTS.
    * COMPANY IS NOT PLANNING ON EXECUTING MATERIAL REDUCTIONS
IN
PERSONNEL AS PART OF RESTRUCTURING PROGRAMME
    * ALTOGETHER 20% OF UNSECURED DEBTS WILL BE CUT WHILE
RESERVING
CREDITORS OPPORTUNITY TO CONVERT THIS 20% SHARE OF RESTRUCTURING
DEBT INTO COMPANY'S SERIES B SHARES
    * ALTOGETHER 50% OF HYBRID BOND LOAN LIABILITIES WILL BE CUT
AND
REMAINING 50% CONVERTED INTO COMPANY'S SERIES B SHARES
    * EUR 81.7 MILLION IN INTRA-GROUP LIABILITIES WILL BE
CONSIDERED
SECONDARY VIS-À-VIS PAYMENTS MADE PURSUANT TO RESTRUCTURING
PROGRAMME'S REPAYMENT SCHEDULE DURING IMPLEMENTATION OF
RESTRUCTURING PROGRAMME.
    * RESTRUCTURING PROGRAMME WILL ALSO ENABLE STOCKMANN TO MAKE
INVESTMENTS PLANNED FOR 2021-2028, WHICH ARE NECESSARY FOR
DEVELOPMENT OF COMPANY.
    * IF ALL CONVERSION RIGHTS ARE EXERCISED TO FULLEST EXTENT,
COMPANY OWNERSHIP WILL BE DIVIDED AS FOLLOWS: CURRENT
SHAREHOLDERS 46.9%, UNSECURED CREDITORS 16.1% AND HYBRID BOND
HOLDERS 37.0%
    * CO'S A AND B SHARE SERIES WILL BE COMBINED IN GENERAL
MEETING
THAT WILL BE HELD IMMEDIATELY AFTER RESTRUCTURING PROGRAMME HAS
BEEN CERTIFIED

Source text for Eikon:  ID:nWkr9Sy4bC 
Further company coverage:  STCBV.HE 

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