Abengoa stock trading suspended earlier to debt restructuring decrease-off date

MADRID (Reuters) – Afraid Spanish renewables company Abengoa (ABG.MC) mentioned on Tuesday it used to be in evolved talks to stable a 250 million euro ($285 million) direct-backed liquidity line and restructure allotment of its debt, but did now not demand a closing resolution unless July 27. FILE PHOTO: A tower and solar panels belonging to the Abengoa solar plant on the “Solucar” solar park is seen in Sanlucar la Mayor, Spain, October 1, 2018. REUTERS/Marcelo del PozoThe announcement capability the Seville-basically based engineering community will omit Tuesday’s self-imposed decrease-off date to reach an agreement with lenders that would possibly possibly per chance possibly allow it to cease afloat. “The Board of Directors considers that, within the most in model conditions, it must exercise all available within the market imaginable selections for the continuity of the community’s industry,” Abengoa mentioned in a narrate. Earlier on Tuesday, Spain’s stock market regulator suspended trading in Abengoa shares earlier to the decrease-off date. They were up 56% sooner than their suspension at 0.0161 euros, but restful down extra than 99% since mid-2014, after they were value almost 5 euros. The advances integrated an agreement with suppliers, amendment of certain debt terms and the provision of guarantees of up to 300 million euros, mentioned Abengoa. It mentioned trends persisted to “evolve favourably, having received linked supports that are but to be formalised”. Mute, it warned that the dearth of liquidity and guarantee traces used to be “severely affecting the industry, making its viability very sophisticated if the transaction is now not closed within the short length of time”. A provide with recordsdata of the negotiations had previously in truth helpful Reuters that a community of Spanish and foreign places banks, alongside side Santander (SAN.MC) and Bankia (BKIA.MC), were brooding about offering a lifeline of round 180 million euros. The more than a couple of 70 million euros would come from the Spanish direct company ICO and the regional authorities in Andalusia, the provide mentioned. Bankia, Santander, the Economic system Ministry and the Andalusian authorities all declined to narrate. In 2016, Abengoa avoided changing into Spain’s greatest-ever company economic fracture after inserting a deal to refinance 9 billion euros of debt, which handed creditors administration of the firm. Reporting by Jesus Aguado; further reporting Isla Binnie, Emma Pinedo, Inti Landauro and Tomas Cobos; Editing by Andrei Khalip and Kevin Liffey

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