ad hoc

SKW Stahl-Metallurgie Holding AG: Prolongation of bank waiver agreed until December 15, 2016; Publication of half-year report 2016 postponed

  • Prolongation of bank waiver agreed until December 15, 2016
  • Long-term financial solution with banks of syndicated loan requires update of restructuring opinion 
  • Publication of half-year report 2016 postponed; preliminary H1 figures already published on September 8, 2016 

München/Munich (Germany), September 29, 2016: The Executive Board of SKW Stahl-Metallurgie Holding AG, München/Munich (Germany), ISIN DE000SKWM021, announces that the negotiations (regarding amendments to the credit terms to reflect the consequences of the steel crisis)with the bank parties to the syndicated loan contract are continuing beyond the period of the current bank waiver agreement (September 29, 2016). The syndicated loan contract is the key instrument of the debt capital of SKW Stahl-Metallurgie Holding AG and of the SKW Metallurgie Group; it has a volume of up to EUR 86 million and a current maturity until early 2018.

The Company and its financing banks strive for a financial solution for SKW Stahl-Metallurgie Holding AG and the SKW Metallurgie Group beyond the current maturity of the syndicated loan. Thereby, a sustainably positive going concern in the meaning of the trade laws is intended to be secured as well. For the final implementation of the intended financial solution further work steps are required; in particular, the current developments of the steel industry have to be incorporated into the restructuring opinion of early 2016. 

In order to allow for the required time in the short run, a prolongation of the waiver, subject to the conditions common to such situations, until December 15, 2016 was agreed.

Due to the aforementioned circumstances and the therefore not concludable auditory review of the half-year accounts, the publication of the Report on H1-2016 (originally announced for September 30, 2016), had to be postponed. Preliminary figures on H1-2016 were published already on September 8, 2016.

On the background of the continuously significantly challenging market environment, the Company emphasizes the need for a sustainable financial restructuring in the context of supplementary capital measures.