Punch Taverns says it’s aiming to agree the terms of a consensual restructuring of its debt over the next few weeks.
The company has issued a new statement, under its subsidiaries Punch Taverns Finance plc and Punch Taverns Finance B Limited, warning of the prospect of default in the A and B securitisations, expecting to culminate in administrative receivership, if a restructure does not take place.
“The issuers believe that this would result in a materially worse outcome for all stakeholders (including bondholders) than would be achieved by the agreement of a consensual restructuring.
“Against this backdrop, the Issuers are aiming to agree the terms of a consensual restructuring with their key stakeholders over the next few weeks in order to be able to document and formally launch a revised proposal ahead of the next financial covenant reporting date of 15 April 2014.
“Negotiation of the restructuring with key stakeholders and their advisers will be facilitated by Punch’s advisors. The Issuers urge bondholder groups and other stakeholders to engage actively with Punch’s advisors and each other in order to reach a consensual deal in the timeline set out above.”