Orco Property Group has been forced back to the drawing board after bondholders rejected the ailing CEE investor-developer's debt restructuring plan. The bondholders voted down an enhanced proposal in relation to a debt-for-equity swap on 24 September.
Orco Property Group has been forced back to the drawing board after bondholders rejected the ailing CEE investor-developer's debt restructuring plan. The bondholders voted down an enhanced proposal in relation to a debt-for-equity swap on 24 September.
After the bondholders vote, Orco - which is registered in France - indicated it would seek to extend the protection from its creditors which was granted on a six-month renewal basis by the Paris commercial court in March.
Orco said it would come up with an alternative plan which Me Leloup-Thomas, a court-appointed office, would discuss with bondholders. Orco noted the court 'will have full power to decide on a term out of all liabilities over a maximum period of 10 years.'
Operating in Central Europe since 1991, Orco is a public company, based in Luxembourg, and listed on the Euronext exchange in Paris and on the Prague, Warsaw and Budapest Stock Exchange. The firm is an investor, developer and asset manager in the Central European real estate and hospitality market, and currently manages assets of EUR 2.2 bn.
