Blue Label Telecoms Tuesday (21 June) published a present on SENS, updating shareholders on mobile operator Cell C’s bond route of – considerable to its financial restructuring.
The telco acknowledged that a scheduling error over a vote by bondholders to present an clarification for their consent to the offer of 20 cents for every R1 of debt, has been postponed. A majority of no lower than 75% of the vote in favour of the offer is severe for it to be implemented.
Cell C’s restructuring is considerable for its survival, within the intervening time owing in procedure over R7.3 billion in debt.
“The assembly “noteholder assembly” of Cell C’s secured lenders, who beforehand held publicly listed bonds or notes to safe approval on the “compromise offer” of 20 cents for every R1 of debt, will now grab station on 5 July 2022,” the mobile operator acknowledged.
“The quorum for conserving a legitimate noteholder assembly requires loads of persons demonstrate and conserving or representing no lower than 75% in foremost quantity of the notes. A extensive noteholder tendered the important instructions after the balloting submission closing date on 16 June, which supposed that the noteholder assembly at the birth scheduled for 20 June 2022 failed to meet the quorum necessities and wanted to be adjourned to a singular date – 5 July 2022.”
“A diminished quorum requirement of 1 or more persons demonstrate and conserving or representing no lower than 25% in foremost quantity of the notes now applies to the adjourned assembly. A majority of noteholders gather already offered their instructions for the noteholder assembly.”
These instructions, Cell C acknowledged, are anticipated to remain in station till the unique noteholder assembly and are ample to retain out the diminished quorum necessities. The end end result of the noteholders assembly will seemingly be communicated, it acknowledged.
“We imagine that the requisite quorum and majority vote in favour will seemingly be completed, making this one other severe milestone in Cell C’s financial restructuring and recapitalisation,” acknowledged Douglas Craigie Stevenson.
The closing step to attain the overall transaction is the signing of CP’s and long make agreements and is anticipated to be finalised in a matter of weeks, he added.
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