Metinvest offers lenders LPN loan restructuring

Metinvest BV (Netherlands), the parent company of the international vertically integrated mining and metallurgical group Metinvest, is offering holders of its $ 1.125 billion LPN to impose a moratorium on any payments on securities until May 27, 2016.

On the Irish Stock Exchange (ISE), the Group announced that the group plans to support a platform for the restructuring of Eurobonds and pre-export finance (PXF) facilities in the amount of $ 1.089 billion during this period. Metinvest intends to apply to the court for permission to convene a meeting to approve the scheme.

Noteholders holding at least 75 percent of Metinvest's Loan Participation Note (LPN) must approve the scheme before it becomes effective. Assuming that the court will allow a convocation to discuss the company's scheme, then the estimated date for the meeting will be January 27, 2016. In addition, the company plans to extend the agreement on the moratorium of PXF facilities until May 27, 2016.