AUGA group's Green Bonds Redemption and Restructuring Insights

Overview of AUGA group's Bond Offering

In December 2019, AUGA group, AB, also known as the Company, made a significant move by issuing a bond offering with a total nominal value of EUR 20,000,000. These bonds, referred to simply as the Bonds, represented a commitment by the Company to engage investors in a worthwhile financial venture.

Current Status of Bond Redemption

As part of its initial promise, the Company was expected to redeem the Bonds and pay any accrued interest by December 17, 2024. However, the Company has faced challenges in fulfilling this obligation. This situation necessitated a proactive approach toward restructuring.

Restructuring Process Initiated

To address these challenges, the Extraordinary General Meeting of shareholders on December 4, 2024, led to the approval of a draft restructuring plan. Following this, the Company proceeded to file an application with the Vilnius Regional Court to initiate restructuring proceedings, marking an important step toward resolving its financial commitments.

Vilnius Regional Court Engagement

The application made by AUGA group has been officially recognized by the Vilnius Regional Court, which has shown its approval by admitting the application for restructuring. Such legal acknowledgment is crucial for the Company as it navigates through this period of financial adjustment.

Details of the Restructuring Plan

The restructuring plan that has been introduced is aimed at ensuring full settlement with bondholders no later than December 31, 2026. The Company is committed to establishing a transparent and cooperative relationship with its bondholders during this transition. It sets forth a clear timeline for resolving outstanding debts and restoring stakeholder confidence.

Strategic Agreements with Bondholders

The Company’s approach toward redeeming the Bonds reflects a keen awareness of the importance of aligning interests. AUGA group is working diligently to reach an agreeable solution with bondholders. This collaboration is expected to benefit both parties, allowing for a smoother redemption process.

Fostering Trust and Cooperation

AUGA group emphasizes its intention to maintain open lines of communication and cooperation with bondholders and their trustees. The Company recognizes that building trust through transparency is essential for a successful resolution to the current predicament. This philosophy will underpin all interactions as AUGA group navigates its restructuring journey.

Contact Information for Stakeholders

For those interested in further information or inquiries regarding the bond redemption and restructuring efforts, AUGA group has designated a contact for stakeholders: Kristupas Baranauskas, the CFO of AUGA group, AB, can be reached at +370 5 233 5340.

Frequently Asked Questions

What led to the restructuring of AUGA group's Bonds?

The restructuring was initiated due to the Company's inability to fulfill its bond redemption and interest obligations as originally scheduled.

When is the planned completion date for bond settlements?

The restructuring plan aims to complete all settlements with bondholders by December 31, 2026.

Who can I contact for more information about the restructuring?

For inquiries, stakeholders can contact Kristupas Baranauskas, CFO of AUGA group, at +370 5 233 5340.

What is the nominal value of the Bonds issued by AUGA group?

The nominal value of the bonds issued in December 2019 was EUR 20,000,000.

How does AUGA group plan to proceed with bondholder negotiations?

The Company intends to engage collaboratively with bondholders to establish terms that serve the interests of both parties.

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