PrivatBank (Dnipropetrovsk) has postponed a meeting of the holders of eurobonds worth $200 million maturing on Sept. 23, 2015 until Aug. 27 due to a lack of quorum at a meeting held on Aug. 13, according to a bank report on the website of the London Stock Exchange.
According to the issuer, as a result of a meeting held in London the proposal of restructuring announced in the notice of meeting has not been satisfied.
As reported, on Aug. 6 PrivatBank appealed to investors with an improved proposal for restructuring 2015 eurobonds worth $200 million.
According to the report, if the bondholders at a meeting on Aug. 13 approve postponing the repayment of eurobonds worth $200 million from Sept. 23 to Dec. 1, 2015, the creditors will be offered the following terms of debt restructuring: 30 percent ($60 million) of the principal amount of the bonds will be paid on September 23, 2017, 17.5 percent ($35 million) then on Oct. 23, 2017, November 23, 2017, Dec.23, 2017, and Jan. 23, 2018.
In addition, PrivatBank reported an increase in the interest rate on the bonds to 10.25 percent from 10 percent in case of restructuring.
As one of the elements of the transaction, the holders who confirmed their agreement to extend the maturity are to be paid $20 for every $1,000 of the nominal value of eurobonds, which will have their conditions of payment changed.
