By selling of two agri-susidiaries of the Group controlled by the Group\u2019s main agri-subsidiary LLC\u00a0Milkiland-Agro, namely PJSC \u201cIskra\u201d and LLC \u201cUspikh-Mena\u201d, in\u00a0November 2016 and February 2017, respectively, Milkiland fulfilled the conditions of the Amendment agreement to the Loan Facility Agreement with PJSC Credit Agricole Bank (hereinafter, \u201cthe Creditor\u201d and \u201cthe Restructuring agreement\u201d).<\/p>\n
The Restructuring agreement between the Creditor and DE \u201cMilkiland Ukraine\u201d, ALLC \u201cNadiya\u201d, LLC\u00a0\u201cUspikh-Mena\u201d and PJSC \u201cIskra\u201d on restructuring of a loans in the total amount of\u00a0USD 14.456 million (EUR\u00a013.1 million) was signed in July 2016.<\/p>\n
According to the Restructuring agreement, the repayment term was extended until 30 June 2019, lowered\u00a0interest rates were applied to the borrower\u2019s indebtedness. It was also required to sell the\u00a0above mentioned 2 agri-subsidiaries of the Group not later than 30 March 2017 in order to\u00a0secure the repayment to the Creditor of the principal amount of the indebtedness in the sum not less than USD 4.5 million.<\/p>\n
As the result of selling deals of PJSC \u201cIskra\u201d and LLC \u201cUspikh-Mena\u201d to third parties buyers, the\u00a0sum of USD 4.854 (EUR 4.384) million was repaid to the Creditor. Additional USD 0,511 (EUR\u00a00.462) million in 2016 were saved due to lowered interest expenses and also repaid to\u00a0the\u00a0Bank. Outstanding\u00a0amount of the principal sum of indebtedness to the Creditor as of 1 March 2017 stood\u00a0at USD 9.1 (EUR 8.22) million.<\/p>\n
Comment by Natalia Melenevskaya, CEO, Milkiland-Agro:
\n<\/i>\u201cBy March of 2017 we successfully met the conditions of our Creditor by selling of two of our non\u2011core subsidiaries. We now focus at the development of our key operational subsidiary ALLC\u00a0\u201cNadiya\u201d managing our modern milk-farm \u201cKrasnosilska\u201d. Thus, in\u00a0the\u00a0current year we\u2019re\u00a0continuing our milk production and other agricultural business to further fulfill the obligations to\u00a0the Creditor based at the operational cash-flow of our company and agreed repayment schedule\u201d.<\/p>\n
Comment by Oleksandr Androshchuk, CFO, Milkiland N.V.:<\/i>
\n\u201cWe were happy to fulfill the conditions of the Restructuring agreement with Credit Agricole Bank, one of the largest creditors of Milkiland with its share of c.9% in the total debt portfolio of the Group as of 1 March 2017.<\/p>\n
Milkiland\u2019s management consider this agreement as an important element of the financial stabilization of the Group\u2019s business after several hits it absorbed in 2014-2016 due\u00a0to\u00a0macroeconomic instability and loss of\u00a0the access to the traditional export markets.<\/p>\n
We also highly appreciate the positive and cooperative approach of Credit Agricole Bank to\u00a0further collaboration with Milkiland and follow the same way in our relations with other creditors of the Group\u201d.<\/p>\n","protected":false},"excerpt":{"rendered":"
By selling of two agri-susidiaries of the Group controlled by the Group\u2019s main agri-subsidiary LLC\u00a0Milkiland-Agro, namely PJSC \u201cIskra\u201d and LLC \u201cUspikh-Mena\u201d, in\u00a0November 2016 and February 2017, respectively, Milkiland fulfilled the conditions of the Amendment agreement to the Loan Facility Agreement with PJSC Credit Agricole Bank (hereinafter, \u201cthe Creditor\u201d and \u201cthe Restructuring agreement\u201d).<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[75,93],"tags":[],"acf":[],"yoast_head":"\n