Ashurst advises RCF creditors on the financial restructuring of Solocal

Ashurst Paris advised the RCF creditors of Solocal in connection with the agreement in principle signed with Ycor, a company created and managed by Maurice Levy, and the main financial creditors of Solocal, namely its RCF lenders and its bondholders and main shareholders.

This financial restructuring agreement, concluded as part of a conciliation procedure and the monitoring of the company's existing accelerated financial safeguard plan, provides for a partial repayment of the RCF at closing and an extension of the maturity for the balance, a debt-to-equity swap of more than 85% of the bond debt and an injection of new money for €43 million, of which at least €38 million will be provided by Ycor.

Following this restructuring, Ycor will be the new controlling shareholder of Solocal. In addition to meeting the Company's objectives of substantially reducing its debt and securing the Group's liquidity, this agreement opens up new prospects for creating value through short-term synergies.

The Ashurst Paris team was led by Noam Ankri, partner, Elsa Decourt, counsel, Astrid Hubert-Benoist, senior associate, Victoire Gabai and Raphael Chekroun, associates, on the restructuring and corporate aspects. The team was supported by partner Pierre Roux and associate Kevin Perraudin on the financing aspects.