7/2015: The Management Board files a motion to change the date of the Creditors' Meeting
Further to Current Report No. 4/2015 of February 23rd 2015, the Management Board of PBG S.A. w upadłości układowej (in company voluntary arrangement) (the "Company", "PBG") announces that on April 13th 2015 the Company filed with the District Court for Poznań-Stare Miasto in Poznań, 11th Commercial Insolvency and Arrangement Division, a motion to change the date of the Creditors' Meeting (the "Motion") convened by the Judge Commissioner to hold a vote on the arrangement between the Company and its Creditors proposed in the course of the PBG's insolvency proceedings (the "Arrangement"), by cancelling the original date and setting a new date of the Meeting for the end of June 2015.The original date of the vote was set by the Judge Commissioner for April 27th, 28th and 29th 2015.
The decision to file the Motion was made by the Management Board on April 2nd 2015 considering the state of negotiations held between the Company and its Financial Creditors. The latter are financial institutions being the Company's major Creditors, who hold more than two-thirds of all claims against the Company covered by the Arrangement and are entitled to vote on the Arrangement and, therefore, will decide the final outcome of the vote. Negotiations are currently underway on the restructuring agreement (see Current Report No. 24/2013 of September 3rd 2013), with its key provision being the Financial Creditors' obligation to vote in favour of the Arrangement. One of the reasons why the filing of the Motion was necessary from the formal point of view was that on March 27th 2015 some of the Financial Creditors filed a petition requesting the Judge Commissioner to change the decision of October 19th 2012 by permitting the creation, subject to the Court Supervisor's approval, of a financial and registered pledge on the shares in RAFAKO S.A. of Racibórz, held by the Company and its subsidiary, Multaros Trading Company Limited of Cyprus, as security for the repayment of future claims under bonds, which the Company may issue on the basis of and in performance of the Arrangement, in accordance with the Company's arrangement proposals of November 3rd 2014 (see Current Report No. 23/2014).
To the best of the Management Board's knowledge, the Creditors' petition to encumber the RAFAKO shares has not been considered to date. The Creditors have requested that a hearing be held to consider the petition, which is relevant to the Company in determining the entity competent to approve the creation of the security requested by the Creditors.
The Company filed the Motion in consultation with the Financial Creditors and their legal advisers, after having received a letter from the attorney-in-fact representing a significant number of Financial Creditors.