Partly Cloudy

Partly Cloudy

max temp: 6°C

min temp: 1°C

Search

East Anglia: Punch seeks waivers to avoid default as talks over debt restructuring continue

12:19 07 April 2014

Pubs group Punch Taverns remains in talks over the restructuring of its debt pile.

Pubs group Punch Taverns remains in talks over the restructuring of its debt pile.

Pubs group Punch Taverns is to seek a waiver to avoid default while it continues to seek agreement over a restructuring of its debts.

shares

In an update today, Punch said discussions had made progress over the past five weeks but further time would be required to finalise proposals and to allow stakeholders and their advisers to review and comment on them.

As a result, meetings for Punch A and Punch B noteholders will be held on April 29 vote vote on covenant waiver requests, in order to avoid the risk of a near-term default in the securitisations, which in the case of the Punch A, could occcur as early as May 15.

The requests include temporary waivers of the debt service cover ratio covenant and certain other provisions of the securitisation documents. If granted, they expire on August 29 at the latest, but with a requirement for a restructuring to be launched by June 30.

Punch said today: “The covenant waiver requests require the support of all classes of noteholders and other securitisation creditors. There can be no assurance that the necessary noteholders and other securitisation creditors will support the covenant waiver requests, or that agreement will be reached on the terms of a consensual restructuring.”

In its last update at the end of February, Punch repeated its warning that it faced the prospect of default unless creditors agree to a restructuring of its debt.

It came after the group called off a vote on its latest proposals amid continued objections from bondholders, and agreed to a fresh round of consulation − a process it began more than a year ago.

Punch is Britain’s second biggest pub owner with around 4,000 leased and tenanted properties, including many in East Anglia where, as a result of mergers and acquistions, it includes a number of former Tolly Cobbold pubs.

shares

0 comments

 Felistowe beach

Winds of up to 100mph swept across the region today and caused travel chaos for many in Suffolk and Essex.

Felixstowe Road, levington closed after roofing blows off building.

The road was closed in both directions between the Strattonhall Drift and the Bridge Road junctions.

Isaac's new extension

A churchgoing burglar in a suit who stole drills and a laptop from an Ipswich waterfront pub has been jailed for eight weeks.

South East Suffolk Magistrates' Court

A drunken shoplifter who stole vintage port, lager and a coat from Ipswich town centre stores has been given a conditional discharge.

The Mid Suffolk Light Railway prepares for its Easter weekend event. Zach Bond cleaning a train.

More visitors attended a Suffolk heritage railway than ever before, according to figures.

An Abellio Greater Anglia train at Colchester

Rail passengers face delays in north-east Essex after plastic sheeting became caught up in overhead electric wires.

Launch of the great East Swim 2016.

One of Britain’s top open water swimmers has said the amazing challenge of the sport should inspire people to take part in one of the region’s largest mass-participation swimming events.

Sycamore Close, Ipswich

A man who brandished an axe when baliffs came to his Ipswich home to collect a court debt has been jailed.

Former Brett Works

A national developer is proposing to build a care home on the Brett Works site in Hadleigh.

Marks and Spencer in Westgate Street, Ipswich

A purse was stolen from an elderly woman in Marks and Spencer in Ipswich town centre, police have said.

Most read

Most commented

HOT JOBS

Show Job Lists

Topic pages

Streetlife

Great British Life

Great British Life
MyDate24 MyPhotos24