Intrum reaches settlement agreement with a minority creditor group and progresses with recapitalisation transaction
Intrum AB (“Intrum” and together with its subsidiaries, the “Group”) has reached a settlement with a minority group of holders of its Notes due 2025 (the “2025 Ad Hoc Group”), a sub-group of whom (the “Litigating Sub-Group”) lodged certain appeals and objections in respect of the Group’s pre-packaged Chapter 11 Plan and Swedish Reorganisation Process.
Unless given a different meaning in this release, terms defined in the press releases from July 2024 to February 2025 (the “Announcements”) have the same meaning when used here.
Intrum and the 2025 Ad Hoc Group have entered into a settlement agreement, which provides that: (i) the Litigating Sub-Group will withdraw all appeals with respect to the Chapter 11 Cases, the pre-packaged Chapter 11 Plan, the terms and conditions of the Group’s medium term notes (as amended in November 2024) and the ongoing Swedish Reorganisation Process; and (ii) the 2025 Ad Hoc Group will accede to the Lock-Up Agreement and support the Group’s Recapitalisation Transaction. In exchange, Intrum will pay certain advisor fees of the 2025 Ad Hoc Group, six months following closing of the Recapitalisation Transaction. Following effectiveness of the settlement agreement, it is expected that approximately 92% in aggregate of Intrum’s Notes debt will be subject to the Lock-Up Agreement.
The settlement agreement will become effective following, among other things, approval by the United States Bankruptcy Court and consent from the Administrator of the Swedish Reorganisation Process.
Intrum remains focused on implementing its recapitalisation transaction. Having received confirmation of its Chapter 11 plan at the end of 2024, Intrum is now making strong progress with its Swedish RP and intends to file its plan as part of the Swedish RP imminently. The recapitalization transaction will enable the Group to significantly reduce leverage, extend maturities, and support long term sustainable growth.
Contact details:
Kroll Issuer Services Limited (as Information Agent): intrum@is.kroll.com
Houlihan Lokey (as advisers to Intrum): intrum@hl.com
Media Inquiries:
Brunswick Group (as advisers to Intrum):
Oscar Karlsson, Partner
Magnus Rydin Lemoine, Director
+46 (8) 410 32 180
Simone Selzer, Partner
Freya Semken, Director
+44 (0) 20 7404 5959
intrum@brunswickgroup.com
DISCLAIMERS
This press release was prepared solely for information purposes and should not be construed as a solicitation or an offer to buy or sell securities or related financial instruments. Likewise, it does not provide and should not be treated as providing investment advice. It has no connection with the specific investment objectives, financial situation or needs of any receiver. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. Recipients should not consider it as a substitute for the exercise of their own judgement. All the opinions expressed herein are subject to change without notice.
No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained in this press release. Neither the Group nor any of its advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this press release or its contents.
This press release may include forward-looking statements. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms as “believe”, “expect”, “anticipate”, “may”, “assume”, “plan”, “intend”, “will”, “should”, “estimate”, “risk” and or, in each case, their negative, or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts and include statements regarding the Group’s intentions, beliefs or current expectations concerning, among other things, the Group’s plans, objectives, assumptions, expectations, prospects and beliefs and statements regarding other future events or prospects. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. These forward-looking statements reflect the Group’s current expectations, intentions or forecasts of future events, which are based on the information currently available and on assumptions made by the Group.
The forward-looking statements and information contained in this announcement are made as of the date hereof and the Group is under no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable laws. All subsequent written or oral forward-looking statements attributable to the Group, or persons acting on the Group’s behalf, included in but not limited to press releases, reports and other communications, are expressly qualified in their entirety by the cautionary statements contained throughout this press release.