European Lingerie Group AB (“ELG” or “Company” and together with its subsidiaries from time to time, the “Group”) had previously announced, that on 29 July 2020 ELG and its principal shareholders had reached a standstill agreement and signed a respective standstill letter (“Standstill Letter”) with certain holders of the Bonds, representing approximately 60 per cent of the Total Nominal Amount of the Bonds (the “Bondholder Committee“), regarding ELG’s defaults under the Terms and Conditions as well as a cooperation between ELG and the Bondholder Committee to explore and execute a potential restructuring of the Group and the Bonds, with regard to the terms and conditions (the “Terms and Conditions“) for ELG’s up to EUR 60,000,000 senior secured floating rate bonds due 2021 with ISIN SE0010831792 (the “Bonds“). Capitalised terms used but not defined herein shall have the meanings assigned to them in the Terms and Conditions. More information regarding the terms of the Standstill Letter can be found in ELG’s press release from 30 July 2020. On 16 October 2020 the Company further informed that the standstill period is prolonged.
ELG is pleased to announce that the process for potential investment into the Group as well as bond restructuring is continuously progressing. Therefore, ELG and its principal shareholders have reached an agreement with the Bondholder Committee on a standstill period extension to accommodate the timeframe required to complete the investment process with any one of the potential investors.
ELG hereby informs that the standstill period is further extended to accommodate the investment process deadlines with a requirement to sign binding investment agreement by the end of January 2021 and full closing of transaction by the end of March 2021 at the latest.
The extension above is subject to the Group’s and principal shareholder continued cooperation with Bondholders’ Committee for finalization of the investment process. The standstill period may be further extended or, if certain conditions of the standstill agreement are not met, lapse prior to the end of the agreed period.
It is noted that the completion of any restructuring measures agreed upon during the Standstill Period is subject to the approval of a Written Procedure to be held in accordance with the Terms and Conditions.
This information is information that European Lingerie Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 17:30 CET on 21 January 2021.
For more information, please contact:
Head of Strategy, M&A and IR
European Lingerie Group AB
+371 2839 1256