Sweden's Oscar Properties proposes rescue plan, one big lender says no

Oscar Properties Holding AB

08/11/2023 10:54

STOCKHOLM, Nov 8 (Reuters) - Sweden's Oscar Properties
 OP.ST  said on Wednesday it had proposed a refinancing plan
after two of its lenders last month demanded immediate repayment
of 2.1 billion crowns ($192 million) in debt, although one bank
rejected the scheme.
    Oscar Properties, one of many Swedish property firms
buckling under the weight of soaring borrowing costs and slowing
demand, said one lender has accepted the plan and is withdrawing
its notice of termination of a 485 million crown loan.
    But the other bank has not accepted the plan and maintained
its demand for immediate repayment of 1.6 billion crowns, Oscar
Properties said in a statement.
    The company will keep trying to reach a deal, it said, while
adding that it is also in talks with creditors over other debt.
    The real estate developer last month said it was in talks
with its major creditors and had postponed interest payments on
some of its debt.
    The new preliminary financing plan includes capital
injections from existing and new owners as well as debt
conversion, it said.

($1 = 10.9644 Swedish crowns)

 (Reporting by Anna Ringstrom, editing by Terje Solsvik)
 ((anna.ringstrom@thomsonreuters.com;))