Kurs & Likviditet
Beskrivning
Land | Sverige |
---|---|
Lista | Small Cap Stockholm |
Sektor | Tjänster |
Industri | Fordon & Transport |
2022-08-14 03:50:16
SAS AB ("SAS" or the "Company") announces that it has entered into a debtor-in
-possession ("DIP") financing credit agreement for USD 700 million (the
equivalent of approximately SEK 7.0 billion) with funds managed by Apollo Global
Management ("Apollo"). DIP financing is a specialized type of bridge financing
used by businesses that are restructuring through a chapter 11 process. The DIP
financing, along with cash generated from the Company's ongoing operations,
enables SAS to continue meeting its obligations throughout the chapter 11
process. The DIP financing is subject to approval by the U.S. Bankruptcy Court
for the Southern District of New York (the "Court"). The DIP financing is
structured as a delayed draw term loan with a nine-month maturity from the
Closing Date. The maturity date can be extended incrementally up to an 18-month
term (see further below). SAS selected Apollo's DIP financing proposal following
a competitive process and considers the terms of the DIP financing to be on
market terms.
"We are pleased to have secured this financing commitment from investment firm
Apollo Global Management, which follows an extensive and competitive process",
says Carsten Dilling, Chairman of the Board of SAS. "With this financing, we
will have a strong financial position to continue supporting our on-going
operations throughout our voluntary restructuring process in the U.S. Apollo
Global Management has a long track record of helping build stronger, more
competitive businesses and extensive experience in the aviation sector. With
their substantial financing commitment, we can now focus entirely on
accelerating the implementation our SAS FORWARD plan, and to continue our more
than 75-year legacy of being the leading airline in Scandinavia."
"SAS is one of Europe's leading airlines and we are pleased to support the
business operations as they implement their restructuring plans to emerge a
stronger company," said Apollo Partner Antoine Munfakh. "At Apollo we have a
wealth of experience in commercial aviation and fully support the comprehensive
SAS FORWARD plan as well as the goals of recapitalizing the Company upon its
emergence from the chapter 11 process."
SAS anticipates receiving Court approval for its DIP financing by mid-September
2022.
About Apollo Global Management
Apollo Global Management is a leading alternative asset manager, headquartered
in the U.S. and operating globally. Apollo is listed on the New York Stock
Exchange (NYSE: APO). Apollo has more than three decades of experience investing
in and working with leading management teams to build and transform their
businesses. Apollo provides companies with innovative capital solutions and
support to fund their growth and position businesses for long-term success.
Key Terms for the DIP financing
The DIP financing will be provided by Apollo under a term loan agreement (the
"DIP Term Loan Agreement") by way of non-amortizing senior secured super
-priority debtor-in-possession delayed-draw term loan facility (the "DIP
Facility") in an aggregate principal amount of USD 700 million (the "Total
Aggregate Commitment"), of which USD 350 million will be available following the
Court's approval of the DIP Term Loan Agreement, which is expected to take place
in mid-September, and satisfaction of certain conditions precedent under the DIP
Term Loan Agreement (the "Closing Date"). The remaining USD 350 million will be
available upon the satisfaction of certain other conditions precedent under the
DIP Term Loan Agreement.
Loans under the DIP Facility will bear interest at a rate per annum equal to
adjusted term SOFR (Secured Overnight Financing Rate) plus 9.0 percent, payable
in cash or in kind at the borrower's election, which may be increased by 2.0
percent per annum during the continuance of any event of default under the DIP
Term Loan Agreement.
The DIP Term Loan Agreement requires the payment of certain fees to Apollo on
the Closing Date