LEAX Group initiates written procedure for its senior unsecured bonds

LEAX Group AB (publ) (the “Company”) initiates a written procedure (the “Written Procedure”) among the holders of its senior unsecured bonds 2018/2022 with ISIN SE0011088954 (the “Bonds”) to request the holders’ consent to amend the terms and conditions for the Bonds. Bondholders representing 40.7 per cent. of the Adjusted Nominal Amount (as defined in the terms and conditions of the Bonds) of the Bonds have already undertaken to vote in favour of the proposal.
 

As further detailed in the notice of Written Procedure, the Company asks the holders to approve a financial covenant holiday and an increase of the current cap in respect of permitted investment loans. In exchange, the Company offers an additional 3 per cent. premium upon redemption of the Bonds. The amendments are proposed inter alia to enable the Company to safeguard liquidity and to take actions required to reduce the impact on the Group’s business of the Covid-19 pandemic.

At the date of this press release, the Company has received undertakings from bondholders representing 40.7 per cent. of the Adjusted Nominal Amount (as defined in the terms and conditions of the Bonds) of the Bonds to vote in favour of the proposal.[1]

The notice of Written Procedure, including the proposed amendment and detailed information regarding the voting procedure, will be available at the Company’s website (www.leax.com) and on Stamdata (www.stamdata.com). Further information on the background to the proposal is set out in the investor presentation enclosed to the notice of Written Procedure, and which will also be available at the “Financial reports and presentations” section of the Company’s website.

The Company has today also instructed Nordic Trustee & Agency AB (publ), being the agent under the Bonds, to send the notice of Written Procedure to holders directly registered in the Company’s debt ledger held with Euroclear Sweden in order to receive holders’ approval to amend the terms and conditions for the Bonds as described in the notice of Written Procedure.

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[1] Bonds held by the Company and its affiliates (corresponding to a nominal amount of SEK 25 million) have not been taken into account in the calculations.




For questions regarding the administration of the Written Procedure, please contact the agent at voting.sweden@nordictrustee.com or +46 8 783 79 00. For other questions, please contact the Company using the contact details set forth below.

Contact details:

Henrik Fagrenius, CEO
Telephone: +46 (0)72 232 41 64
E-mail: henrik.fagrenius@leax.com


This information is information that LEAX Group AB 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 above, at 15:00 CEST on 15 June 2020.

About LEAX Group:
LEAX Group AB (publ) is the parent company of a group (“LEAX Group”) with about 1 200 employees. LEAX has operations in Köping, Falun and Falköping in Sweden, Riga and Rezekne in Latvia, Curitiba in Brazil, Detmold in Germany, Mezökövesd in Hungary and Wuxi in China. The company is a manufacturer of mechanical components and subsystems for the heavy vehicle industry, passenger cars, mining and construction industries and other engineering industries. LEAX Group also delivers customized gearboxes for various mechanical engineering industries.

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