Brief: Paragon Joins New Counterproposal Of Hanseatische Investment GmbH

paragon GmbH & Co KgaA

04/03/2022 16:56

March 4 (Reuters) - PARAGON GMBH & CO KGAA  PGNG.DE :
    * JOINS NEW COUNTERPROPOSAL OF HANSEATISCHE INVESTMENT GMBH
    * HAS RECEIVED ANOTHER COUNTERPROPOSAL FROM HANSEATISCHE
INVESTMENT GMBH FOR STRUCTURE OF PROLONGATION OF ITS EURO BOND
TO BE VOTED ON 10 MARCH
    * BONDHOLDER'S REQUEST REGARDING UPCOMING EXTENSION OF 4.50%
BOND
2017/2022 HAS BEEN THOROUGHLY REVIEWED BY PARAGON AND, IN
COMPANY'S VIEW, REPRESENTS A PAINFUL BUT VIABLE COMPROMISE
    * PROPOSAL INCLUDES AN INCREASE IN INTEREST RATE FROM
CURRENT 4.5%
TO 6.75%, WHICH WILL THEN NO LONGER BE PAYABLE ANNUALLY BUT
SEMI-ANNUALLY
    * ACCORDING TO PROPOSAL, EARLY PARTIAL REPAYMENTS TOTALING
EUR 25
MILLION ARE FORESEEN ON CERTAIN DATES IN 2023, 2025 AND 2026.
FIRST DATE PROPOSED IS REDEMPTION DATE OF SWISS BOND ON 23 APRIL
2023
    * ANY PROCEEDS FROM SALE OF BUSINESS UNITS WILL ALSO BE USED
FOR
MANDATORY PARTIAL REPAYMENTS OF EUR BOND, WHICH WILL BE CREDITED
AGAINST MANDATORY PARTIAL REPAYMENTS
    * NO DIVIDENDS ARE POSSIBLE DURING TERM
    * IN ADDITION, A CHIEF FINANCIAL OFFICER IS TO BE APPOINTED

Source text for Eikon:  ID:nEQbTnvh2a 
Further company coverage:  PGNG.DE 

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