ATLAS Mara Restricted Announces Update on Standstill and Statement with regards to TLG

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Essential Highlights

  • Atlas Mara and the consenting lenders underneath the not long ago announced Standstill go on constructive discussions to attain a comprehensive financial debt restructuring.
  • Beforehand introduced strategic initiatives continue to be on monitor, with accelerated action to complete contemplated divestitures.
  • A little holdout creditor, TLG, has submitted a Court application towards the Corporation.
  • The Enterprise sees TLG’s steps as each hostile and detrimental to the interests of the Firm and its collectors, which includes TLG by itself.
  • A range of important lenders have, considering that TLG’s software, reaffirmed their assist for the Enterprise and intend to support in contesting TLG’s actions.
  • The Firm’s subsidiary financial institutions continue being unaffected by TLG’s counter-productive steps and their operations go on in the common course.

TORTOLA, BVI / ACCESSWIRE / February 17, 2021 / More Specifics

Atlas Mara Limited (“Atlas Mara” or the “Organization,” and including its subsidiaries, the “Group”), the sub-Saharan African fiscal solutions group, hereby supplies an update on development designed and developments in its discussions with bilateral loan providers and sure principal holders of the Group’s convertible bonds because of 31 December 2020.

As earlier announced by the Corporation on 29 December 2020, the Firm, and certain other associates of the Group, had entered into a standstill agreement with certain lenders in regard of the Firm’s and ABC Holdings Confined (“ABCH”)’s funding arrangements (the “Standstill”). Lenders representing above 87.7 percent of the aggregate amount of money outstanding below bilateral facilities of the Corporation and ABCH agreed to enter the Standstill or very similar bilateral agreements. The Standstill was also entered into by about 60 percent of the principal holders of the Group’s convertible bonds thanks 31 December 2020.

The aim of the Standstill is to supply sufficient time for engagement amongst the Firm and its collectors to reach settlement on a sustainable extended-expression solution for the Firm’s and ABCH’s credit card debt and repayment profile. The consenting lenders below the Standstill have agreed not to work out selected legal rights, or in any other case consider steps, in regard of legal rights and repayments that may well arise less than the convertible bonds and bilateral facilities as a final result of the Group not creating principal and desire payments, till and together with the previously of 31 March 2021 (unless of course prolonged) and termination of the Standstill.

Given that announcing the Standstill agreement in December 2020, the Company has ongoing to have a constructive dialogue with the trustee of the convertible bonds and further bondholders previously mentioned the initial 60 % of principal holders and has been focussed on establishing its restructuring proposal with reference to the interim milestones in the Standstill. Whilst arrangement has nevertheless to be achieved, the Corporation and the consenting collectors beneath the Standstill go on to make progress in discussions on a proposed prepare that will provide balance for the benefit of all stakeholders. The system for extensive recapitalisation or restructuring of the Firm’s and ABCH’s balance sheet entails further more strategic transactions like divestitures in addition to the formerly introduced transactions. The Firm proceeds to make substantial development on the formerly declared divestitures, and has even more reviewed a vary of other alternatives with regard to its other assets to realign the balance sheet for worth realization and assistance the Firm weather conditions the problems wrought by the COVID-19 pandemic. The Board of Atlas Mara is pursuing a extensive solution for the Firm’s equilibrium sheet and acceleration of potential strategic transactions for the benefit of all pertinent stakeholders.

Though the Corporation carries on conversations with certain holdout collectors, the Enterprise announces that it has been knowledgeable by lawyers performing for a person of its holdout collectors, TLG ATMA Ltd (“TLG”) that TLG has submitted an application with the Superior Courtroom of Justice (Professional Division) of the Jap Caribbean Supreme Court, British Virgin Islands pursuant to section 159, area 162(a) and portion 162(1)9b) of the Insolvency Act 2003 in search of to appoint joint liquidators in regard of the Organization (the “Software”). The amount of excellent financial debt similar to TLG is somewhere around $10.8 million, which features accrued desire and other expenses that TLG is searching for, as in comparison to the all round amounts thanks to other consenting lenders who carry on to be supportive.

By way of background, TLG and two other collectors did not concur to enter into the Standstill or very similar arrangement with the Business, notwithstanding the positive aspects of the Standstill to the Company’s collectors as a total. Considering the fact that executing the Standstill with a considerable the vast majority of its creditors, the Organization has continued to try to engage with TLG in an work to get its help and arrangement to the conditions of the Standstill or to obtain another consensual remedy. TLG has not been receptive to these possibilities and has instead taken a quantity of steps which the Organization thinks are detrimental to TLG’s place and the position of the Company’s other collectors, which include submitting and subsequently withdrawing a Statutory Demand from customers and culminating in the submitting of the Application on 16 February 2021 without the need of right consultation with the Company. A range of important consenting collectors have reaffirmed their support for the Enterprise by granting sure waivers as a end result of these hostile steps taken by TLG.

The Business is in discussions with TLG to have the software withdrawn. In the occasion that TLG is unwilling to withdraw the application, the Enterprise intends to robustly contest it for the advantage of its creditors as a full and other stakeholders. The Corporation proceeds to have assistance from a sizeable majority of lenders as a final result of the Standstill and intends to carry on doing work in direction of the thriving implementation of a restructuring and divestiture programme in purchase to maximise value for its collectors and other stakeholders, recognizing that there is a hazard of insufficient price for shareholders if the Organization is not able to do so.

These steps pertain only to the Company and do not influence the subsidiary banks, which operations continue in the common training course. The Company will update the current market with any even more materials developments on the TLG application, the restructuring procedure and ongoing divestitures.

Speak to Details:

Kojo Dufu, +1 212 883 4330

Apella Advisors, +44() 7818 036 579
Anthony Silverman

About Atlas Mara

Atlas Mara Confined (LON:ATMA) is a money establishment outlined on the London Stock Exchange. Atlas Mara aims to be a optimistic disruptive power in the marketplaces in which we function by leveraging technological know-how to supply progressive and differentiated products offerings, provide fantastic consumer support and accelerate financial inclusion. For much more information and facts, go to

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Source: Atlas Mara

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