Alfacam granted three more months for rescue package - TVBEurope

Alfacam granted three more months for rescue package

The Commercial Court of Antwerp has approved a three-month protection extension for the reorganisation of Alfacam Group and its associated companies in a judgment rendered on 30 January.
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The Commercial Court of Antwerp has approved a three-month protection extension for the reorganisation of Alfacam Group and its associated companies in a judgment rendered on 30 January. Protection has been granted until 5 May 2013. As requested by the Court, Alfacam Group has to submit a restructuring plan on 15 April 2013 at the latest. Following a financial, tax, legal and commercial due diligence, Hinduja Group has reiterated the intention to proceed with negotiations on its contemplated investment in Alfacam Group, along the lines of the Memorandum of Understanding signed on 11 December 2012. Alfacam Group and Hinduja Group will continue negotiations with the objective to reach an agreement as early as possible. The contemplated transaction will result in a significant controlling stake for Hinduja Group that may result in dilution of the existing shareholders. The exact details of the transaction structure are subject to further discussion and agreement between the parties, respecting all regulations and stakeholder interests. Alfacam will communicate the exact details as soon as full agreement between the parties has been reached in respect thereof. The contemplated transaction will strengthen the balance sheet of the company and secure its financial and commercial future. Banks and Gigarant are willing to grant an extension of the standstill until the end of February in order to allow Alfacam to reach a binding agreement with Hinduja. This standstill will be subject to Alfacam and Hinduja meeting specific deadlines in the course of the negotiations. In March Alfacam will publish its annual figures. The turnover for H2 2012 will be slightly higher than €21.5m, compared to a turnover of around €20m in H2 2011. The fourth quarter turnover was €7m, compared to €10m in 2011, a decline of more than 30% – reflecting the ongoing loss of commercial revenue under the present court-protected conditions.www.alfacam.com

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