The company PlusPlus Capital, which deals with the management of financial credits in the Baltics and Finland, submitted a request to the Harju County Court on Wednesday to start the reorganization procedure.
According to Kaarel Raiki, a member of the board of directors of PlusPlus Capital, the company has submitted a restructuring request because it is temporarily having difficulty paying interest on the Eurobonds of the subsidiary listed on the Frankfurt Stock Exchange and completing several agreed buybacks.
“Despite our efforts, we were unable to conclude a financing agreement to raise capital and thus make the agreed payments by the end of this year. At the same time, our business model is sustainable, daily cash flows are positive and the volume of assets is large, therefore we believe that initiating a restructuring procedure is the best way to guarantee both the company and investors a sustainable solution in today’s situation”, said Raik.
According to him, the company is actively working to attract additional capital. PlusPlus Capital’s assets amount to 134 million euros and mainly include receivables from private individuals.
PlusPlus Capital Financial S.à rl, a Luxembourg-based subsidiary of PlusPlus Capital, announced to the stock exchange on Friday that it is unable to make payments for the servicing of bonds worth 100 million euros with an annual interest rate of 11% and to find a To resolve the situation, the parent company asked the Harju County Court to initiate restructuring proceedings.
PlusPlus Capital is a financial debt management company that buys portfolios of overdue debt from the financial sector and telecommunications companies in the Baltics and Finland. PlusPlus Capital finances the purchases by bringing in private and institutional investments. Since 2010, PlusPlus Capital, a Baltic and Finnish financial claims management company based in Tallinn, has purchased more than 120,000 claims with a nominal value of around €290 million.
The ERR portal already wrote about the company’s difficulties last year.
2023-12-29 12:59:00
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