ACCENTRO Real Estate AG Faces Uncertainty Amid Bondholder Negotiations

ACCENTRO Real Estate AG has announced that the sole bondholder of the 2021/2029 bond no longer supports the restructuring plan. Negotiations with the Ad Hoc Group, a coalition of bondholders holding 55% of the 2020/2026 bond, are ongoing.

The Management Board anticipates a resolution soon. If successful, the bondholder will transfer its position to the Ad Hoc Group, allowing restructuring talks to proceed. The focus will then shift to a financing solution led by either the 2020/2026 bondholders or NongHyup Bank.

Key points of restructuring involve strategic realignment towards privatization, divestment of real estate assets, and overall restructuring of debt and equity. Failure to finalize negotiations may force ACCENTRO to reassess its financial viability, potentially leading to insolvency.

An interim funding arrangement is being discussed to address upcoming interest payments. ACCENTRO aims to stabilize its liquidity, targeting a long-term financial solution before year-end.