Hawe Telekom in restructuring submits new composition proposals

The Management Board of Hawe Telekom, in view of the stabilisation of the company's business activities, has submitted a modification of the preliminary arrangement proposals to the restructuring court in Warsaw. They are an update of the proposal to open restructuring proceedings from last year. The proposal provides for the repayment of 100 per cent of the principal claim to all creditors. The proposals are particularly attractive to smaller creditors who, in the case of debts of up to PLN 10,000, would be repaid in full in cash only.

Hawe Telekom aktualizację uzasadnia poprawą warunków, w jakich funkcjonuje spółka oraz postępem prac nad restrukturyzacją, które pozwalają na zmianę pierwotnych założeń.

For each group of creditors, the new composition proposal specifies precisely when and how the claims will be repaid. For its largest creditor, the Industrial Development Agency, the company has developed two repayment options. In option I, the liability to the IDA would be repaid within 14 days of the court order becoming final. This option, however, entails a 29 per cent reduction in the principal receivable. The remaining 71 per cent would be covered by refinancing by an external investor. Adoption of option II, on the other hand, implies the recovery of 100 per cent of the principal claim. In this case, repayment would begin by 15 months after the court order became final and would be in equal quarterly instalments spread over eight consecutive years.

The material appeared on wnp.pl:

30 January 2017:
" New composition proposals from Hawe Telekom