Func Food Group Oyj – Notice to a written procedure
Func Food Group Oyj (the "Company") has on the date hereof given instructions to Nordic Trustee & Agency AB (publ), being the agent under its up to EUR 50,000,000 senior secured callable bond loan with ISIN SE0007186150 2015/2019 (the "Bonds") to initiate a written procedure in order to request that the bondholders vote in favour of amending the terms and conditions of the Bonds.
The Company wishes to make certain amendments to the provisions of the terms and conditions of the Bonds in order to restore the equity position within the group, allow certain changes to be made in the organization and debt structure of the group, and enhance the liquidity position of the group. The proposed amendments to the terms and conditions include (i) waiving any remaining scheduled amortisation payments payable under the current amortisation plan of the Bonds, (ii) increasing the permitted debt incurred under financial leasing arrangements, (iii) allowing the company to enter into recourse factoring arrangements with major retailers, (iv) permitting the divestment or discontinuation of the Issuer’s business relating to the Freddy brand, (v) allowing for a potential merger between Suomen Lisäravinne Oy and Func Food Finland Oy, provided Func Food Finland Oy remains as the surviving entity and (vi) converting part of a pledged intercompany loan into an unconditional shareholders contribution.
The agent will deliver the notice to a written procedure to all bondholders on 18 December 2017. The written procedure will commence on 18 December 2017 and end at 17:00 (CET) on 15 January 2018. To be eligible to participate in the written procedure a person must fulfil the formal criteria for being a bondholder on 22 December 2017. This means that the person must be registered on a securities account with Euroclear Sweden AB as a direct registered owner (Sw. direktregistrerad ägare) or authorised nominee (Sw. förvaltare) with respect to one or several Bonds.
Pareto Securities has been retained as financial advisor in connection with the written procedure.
The notice to a written procedure is attached to this press release and is available on the Company's website (www.funcfood.com).
For further information, please contact:
Tommi Virtanen, CFO
Telephone: +358 40 590 4040
This information is information that Func Food Group Oyj is obliged to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Markets Act (2007:528). The information was submitted for publication, through the agency of the contact person set out above, at 19.00 CET on 18 December 2017.