Brief: Soltec Under Negociations To Sign New Credit Facility And Bank Guarantee Line Before May 31

Soltec Power Holdings SA

02/04/2024 07:26

April 2 (Reuters) - Soltec Power Holdings SA  SOLPW.MC :
    * SAID ON MONDAY HAS REVOLVING CREDIT FACILITY WITH CURRENT
LIMIT
OF 90 MILLION EUROS WHICH AT THE END 2023 WAS DRAWN DOWN ALMOST
ENTIRELY AND HAS BANK GUARANTEE LINE OF 110 MILLION EUROS
PROVIDED BY SYNDICATE OF FINANCIAL INSTITUTIONS SINCE 2018
    * SOLTEC AND SYNDICATE OF FINANCIAL INSTITUTIONS AGREED TO
EXTEND
SYNDICATED FACILITY UNTIL MAY 31, WITHOUT MODIFYING REST OF ITS
TERMS AND CONDITIONS, WITH INTENTION OF PROVIDING A REASONABLE
TIME FOR PARTIES TO REACH COMPLETE AGREEMENT
    * SOLTEC IS UNDER NEGOTIATIONS WITH FINANCIAL INSTITUTIONS
TO SIGN
A NEW CONTRACT BEFORE MAY 31, BY WHICH, IN ADDITION TO EXTENDING
THEIR MATURITY, AMOUNTS OF BOTH FINANCING INSTRUMENTS ARE
EXPECTED TO BE INCREASED
    * COMPANY EXPECTS TO REACH SATISFACTORY AGREEMENT WITH
SYNDICATE
OF FINANCIAL INSTITUTIONS
    * CONSEQUENTLY, IN 2023 ANNUAL RESULTS, BOARD HAS APPLIED
PRINCIPLE OF FUNCTIONING COMPANY SINCE, IN OPINION OF
ADMINISTRATORS, THERE ARE NO SIGNIFICANT DOUBTS ABOUT CONTINUITY
OF SOLTEC ACTIVITY FOR, AT LEAST, NEXT 12 MONTHS
    * THIS JUDGMENT ASSUMES THAT SUCH AGREEMENT WILL BE REACHED
WITH
SYNDICATE OF FINANCIAL INSTITUTIONS BEFORE MAY 31
    * NEGOTIATIONS ARE IN LINE WITH NATURAL AND APPROPRIATE
COURSE OF
ACTION FOR THIS TYPE OF TRANSACTION AND WILL IMPLY MENTION IN
AUDIT REPORT BY COMPANY'S AUDITOR

        
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