YrkesAkademin is experiencing a strained liquidity position
The liquidity situation of the group is strained and the group is currently reviewing various financial and operational alternatives to prevent an urgent shortage of liquidity during the second half of September 2022 and subsequently a risk of insolvency.
As previously has been announced on 12 August 2022 and in the interim report on 26 August 2022, YA Holding AB (publ) (“YA” or the “Company” and the group in which the Company operates, the “Group”) has identified a risk of not fulfilling certain financial ratios and commitments under the Company’s senior secured social sustainable corporate bonds, with an initial volume of SEK 480 million under a framework of maximum SEK 650 million which were issued on 17 December 2021 (the “Bonds”). The reason for this is that the number of students assigned to the new professional driver education has so far been significantly lower than the forecasts from the Swedish Public Employment Service given in connection to the procurement processes in 2021.
Since the announcement of the interim report, the situation has become increasingly strained and the Company assesses that the Company will not be able to pay the interest on the Bonds which is due on Monday 19 September 2022. The current liquidity situation is such that the Company solely through loans from the Company’s shareholders, indirectly certain CapMan funds, is able to manage its liquidity in the short term.
As also announced by way of the press release on 12 August 2022, the Company intended to initiate discussions with the bondholders with respect to the Bonds. Such discussions are currently ongoing. The discussions pertain to different alternatives to in particular postpone the payment of the interest from and including 19 September 2022 up to and including 17 December 2023 so that the payment for the postponed interest is made on the final maturity date of the Bonds, as well as waiving the requirement to comply with certain financial ratios under the Bonds. The Company is also by way of open-ended investigations exploring other financial and operational alternatives to address the Company’s liquidity situation. Further, the Company is involved in discussions with the Swedish Public Employment Service to seek to reach a solution pertaining to the above-mentioned professional driver education.
If a settlement cannot be reached with the bondholders and/or if the Group does not continue to receive means by way of contributions, loans or the like from the owner and/or an external party or otherwise does not find other solutions to the Group’s position before the interest fall due for payment on 19 September 2022, there is a risk that the Company may end up in a situation of liquidity shortage during the second half of September 2022, which may subsequently entail a risk of insolvency.
This disclosure contains information that YA Holding AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 01-09-2022 14:11 CET.
For further information, please contact:
CEO
YA Holding AB (publ)
Att. Martin Modig
Tel.: +46 (0) 72 369 66 80
E-post: martin.modig@ya.se
CFO
YA Holding AB (publ)
Att. Antti Rokala
Tel.: +46 (0) 76 899 49 73
E-post: antti.rokala@ya.se