Announcement on the April 2023 interest payment on the outstanding U.S.$300,000,000 9.00% Loan Participation Notes due 2025 issued by Bonitron Designated Activity Company
2 May 2023
Eurotorg LLC («Eurotorg») hereby informs the holders of the Notes (the «Noteholders») that on 29 March 2023, Eurotorg made the scheduled interest payment in respect of interest accrued on the outstanding1 Notes in the aggregate principal amount of U.S.$ 32,997,000 to and excluding 22 April 2023 (the «Interest Payment») to the account of the Issuer with The Bank of New York Mellon (the «Principal Paying Agent»). The amount of such Interest Payment was U.S.$ 1,484,865.
At the same time, Eurotorg had in due course provided the Principal Paying Agent, as well as – through Eurotorg's respective brokers – Euroclear Bank SA/NV («Euroclear») and Clearstream Banking S.A. («Clearstream, Luxembourg») with the renunciation letter, whereby Eurotorg, being a holder of the Notes in the aggregate principal amount of U.S.$ 76,100,000 (the «Treasury Notes»), renounced its right to receive the relevant interest payment due to it on 22 April 2023 with respect to such Treasury Notes. Eurotorg’s similar renunciation letter that had been provided in relation to the interest period ended on 22 October 2022 had been accepted by the participants involved, and the relevant interest payments had been distributed to the beneficial holders of the Notes in full.
Thus, the amount transferred by Eurotorg to the account of the Issuer on 29 March 2023 should have been sufficient for full and timely discharge of the Issuer’s obligations in respect of the Interest Payment towards all the beneficial holders of the Notes, other than Eurotorg itself, who renounced to receive the relevant payment on the Notes it held (the Treasury Notes).
Eurotorg has been informed that the Interest Payment had been received by the Principal Paying Agent in satisfaction of the Issuer’s obligations in respect of the Interest Payment. The Interest Payment was further made through the relevant clearing systems (respectively, Euroclear and Clearstream, Luxembourg) to direct participants in the same for further distribution to the beneficial holders.
However, on 29 April 2023 Eurotorg was informed by certain of the beneficial holders of the Notes held through Euroclear and Clearstream, Luxembourg that such holders had not received (or had received only in part) their relevant proportion of the Interest Payment.
To date, Eurotorg has been unable to contact Euroclear and Clearstream, Luxembourg to clarify the status of the onwards payment to beneficial holders and Eurotorg’s ability to affect Euroclear’s and Clearstream, Luxembourg’s or their direct participants’ actions in this respect is limited as it has no contractual relationship with the clearing systems or their direct participants. Beneficial holders of the Notes who have not received their relevant proportion of the Interest Payment (or have received such distribution only in part) are therefore encouraged to address queries and requests to Euroclear and Clearstream, Luxembourg or to their relevant custodians and brokers.
This announcement is released by Bonitron Designated Activity Company and may contain information that qualified or may have qualified as inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 (the «MAR»), encompassing information relating to the Offer described above. For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is made by the Directors of Bonitron Designated Activity Company.
For further details, please contact:
Chief Investment Officer, Eurotorg LLC
1) For the avoidance of doubt, the Notes that have been cancelled or are being held by Eurotorg are not considered “outstanding”.