In This Article:
Atlas Mara Limited's Update on Strategic Review and Restructuring Discussions
Key Highlights:
-
Atlas Mara announces progress in strategic review with regulatory approval of two previously announced transactions.
-
Extension of Standstill Agreement agreed with creditors to 17 May 2021 in order to provide additional time to complete binding legal agreement relating to restructuring discussions.
TORTOLA, BVI / ACCESSWIRE / May 5, 2021 / Atlas Mara Limited ("Atlas Mara" or the "Company" and including its subsidiaries, the "Group"), the sub-Saharan African financial services group, hereby provides updates on the strategic review and its discussions with bilateral lenders and certain principal holders of the Group's convertible bonds due 31 December 2020.
The Company remains focused on executing on its strategic review to maximize value for its stakeholders. To date, the Company has announced assets sales in Mozambique, Rwanda, Tanzania, and more recently in Botswana. Having secured regulatory approval for the transactions in Mozambique and Botswana, the Company is now working towards completion of these previously announced transactions. Atlas Mara has also received several indications of interest regarding other assets and continues to assess these options with the aim of realizing value for the best interests of all its stakeholders. The Company will provide any updates to the market in due course.
On 1 April 2021, the Company announced: (i) that it had reached in principle agreement with the majority of its creditors on the key commercial terms for its debt restructuring and (ii) that all of the creditors of the Company and its subsidiary, ABC Holdings Limited ("ABCH"), who entered into the Standstill Agreement announced on 29 December 2020 had agreed to extend the Standstill Agreement until 30 April 2021.
Since that announcement, the Company has substantially agreed the framework terms of the legally binding agreement that will implement the restructuring transaction with the creditors of the Company who have entered into the Standstill Agreement. In parallel, ABCH has also made progress with a majority of its creditors (by principal amount owed) towards agreeing the key commercial terms for the debt restructuring. In recognition of the progress made so far, the creditors of the Company and ABCH who have entered into the Standstill Agreement have agreed to a further extension of the Standstill Agreement until 17 May 2021 to enable parties to finalize the restructuring documentation.