DDM provides business update in connection to the written procedure for its EUR 50 million senior secured bonds

DDM Holding AG (First North Growth Market: DDM), a specialized multinational investor and manager of non-performing loans and special situations, is publishing the following business update for the DDM Holding Group (the “Group”) in connection to DDM Debt AB’s written procedure for its EUR 50 million senior secured bonds with ISIN SE0010636746.

We are closely monitoring developments across our core markets, as the SCEE region resumes activity following lockdowns, loan moratoriums and courts gradually being reopened with limited operations resulting in delays of case settlements. We expect the coming quarters to continue to be challenging with increased volatility and to experience delays of some collections.

Collections

Net collections decreased significantly at the beginning of the second quarter but improved gradually throughout the quarter to end at about EUR 13 million, around 30% below the strong collections in Q1 2020.

Portfolio revaluation & impairments

The portfolio has continued to show resilience during the quarter with downward revaluations and impairments being less than 0.5% of the carrying value of the portfolio at the end of the first quarter despite the impact from COVID-19.

Operating expenses

Operating expenses were broadly in line with the previous quarter.

Earnings before income tax

The loss before income tax was about EUR 1 million following the adjustments to the portfolio value.

Net debt & ERC

Net debt and 120-month Estimated Remaining Collections are in line with the previous quarter, adjusted for the collections that have been received during the second quarter.

Liquidity

The Group ended the quarter with about EUR 26 million of cash available.

Acquisitions

There are no committed investments other than the previously announced additional 10.1% strategic investment in Addiko Bank AG which is pending regulatory approval.

This is information which DDM Holding AG is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 08:30 CEST on 7 July 2020.
 

For more information, please visit DDM’s website at www.ddm-group.ch or contact:

Henrik Wennerholm, Chief Executive Officer

Tel: +41 79 539 88 59

Fredrik Olsson, Chief Financial Officer

Tel: +41 79 331 30 17

Mail: investor@ddm-group.ch

DDM Holding AG (Nasdaq First North Growth Market, Stockholm: DDM) is a specialized multinational investor and manager of non-performing loans and special situations. Since 2007, the DDM Group has built a successful platform in Southern, Central and Eastern Europe, having acquired 2.3 million receivables with a nominal value of over EUR 4 billion.  DDM Debt AB (publ) (Nasdaq Stockholm: DDM2) is a wholly owned subsidiary of DDM Holding AG. Arctic Securities is DDM Holding AG’s Certified Adviser, e-mail: certifiedadviser@arctic.com, tel: +46 8 44686100.