Abengoa takes a step “key” to avoid bankruptcy – Investing.com Spain

MADRID (Reuters) – Abengoa (MC confirmed Monday he would ask the judge for more time to restructure its debt after getting high more than 75 percent of its creditors support agreement waiting or “standstill”, a step considered “key” by the company to avoid the biggest bankruptcy of Spain.

“The contract waiting or standstill will allow the company to suspend the exercise of certain rights of termination and early repayment of loans (for seven months). Thus, Abengoa can achieve 75% necessary to obtain the final agreement accessions “he said in a press release.

Today on March 28 was the deadline of preconcurso of creditors to which Abengoa filed in November and the Seville company needed at least 60 percent of creditors would support the “standstill” to ask for court approval .

If the judge agrees to the claims of Abengoa, the company will still have to get more than three-quarters of the creditor mass support a global agreement to restructure a debt of over 9,000 billion euros.

The engineering and renewable energy announced earlier this month a plan of debt restructuring that had the endorsement of 40 percent of the financial creditors, but to extend it to the entire liability is necessary under Spanish law a minimum of 75 percent, a percentage that would presumably coming at this time.

Its president Antonio Fornieles said then he expected initialling a restructuring agreement before the end of April.

The deal would reduce its financial debt to 4,923 million euros from 9,395 million at the end of 2015 and would guarantee funding to overcome the liquidity crisis current company.

Meanwhile, the company is still immersed in a crisis of liquidity to fund its day. Last week, as part of the restructuring talks, a group of creditors injected urgently 137 million euros with an interest rate of 14.5 percent.

MOOCH CREDITORS PROTECTION IN US

Abengoa also said Monday that it will request protection from creditors in the United States for their societies in the country, where a subsidiary of bioenergy and asked to benefit from late February to so-called “Chapter 11″.

in addition, request welcome all companies in the group to another chapter of the law US bankruptcy (chapter 15) “with the aim of extending protection and approval of the agreement in this country.”

in the United States listed Yield Atlantica, considered the jewel in the crown of Seville group, although this is based in UK and subject to UK regulation.

Disclaimer: Fusion Media would like to remind you That the data Contained in is not Necessarily this website Real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices May not be accurate and May Differ from the actual market price, meaning prices are indicative and not Appropriate for trading purposes. Fusion Media doesn`t bear THEREFORE any Responsibility for any trading losses you incur as a result Might of using esta data.

Fusion Media or anyone Involved With Fusion Media will not accept any liability for loss or as a result of damage reliance on the information Including data, quotes, charts and buy / sell signals Contained Within this website. Please be fully Informed Regarding the Risks Associated With costs and trading the financial markets, it is one of the riskiest investment forms possible.