ZAGREB, March 1, 2018 – The indebted Agrokor food conglomerate said on Thursday that creditors under the roll-up deal had accepted the appointment of Fabris Peruško as the new emergency administrator and Irena Weber as his deputy, and added that they would not use their contractual rights relating to the change of the emergency administrator.
Although Agrokor did not give any further details, this can be interpreted to mean that creditors will not use the roll-up loans clause which allows them to declare their receivables under that agreement due for payment if the government or court were to replace Ante Ramljak as emergency administrator.
Ramljak tended his irrevocable resignation to Prime Minister Andrej Plenković on 20 February. Earlier this week, the government recommended Fabris Peruško as the new emergency administrator and Irena Weber as his deputy, after which Zagreb Commercial Court confirmed Ramljak’s resignation and appointed Peruško and Weber.
Ramljak’s resignation gave rise to speculation in the media with regard to the roll-up loans clause and the possibility of creditors declaring their receivables due for payment.
Last week, the Zagreb Stock Exchange requested an explanation about the use of that clause in reference to Agrokor’s companies. The companies replied that, in case the emergency administrator Ante Ramljak or restructuring consultant is replaced, creditors “have the right, but not the obligation, to declare their receivables due for payment.”
The Stock Exchange asked companies to confirm or deny unofficial claims in the media that within six months since the original agreement on super seniority loans was signed, at least eight amendments had been concluded, which gave creditors the right to declare their receivables due for payment.
The companies replied that, according to their information, the initial agreement had been amended, but that this did not impact the creditors’ rights regarding the change of the emergency administrator.
