Linklaters is advising the co-ordinating committee of senior lenders to Truvo, the European-based telephone directories publisher, on its circa €1.4bn restructuring.
The US Bankruptcy Court, New York, confirmed on 26 October the combined Plan of Reorganization for Truvo USA, Inc, Truvo Acquisition Corp., Truvo Subsidiary Corp., Truvo Intermediate LLC and Truvo Parent Corp. The Plan involves a sale of the share capital of Truvo USA, Inc, to a newly incorporated entity, Truvo NV which will be owned by the Truvo Group's existing senior lenders.
The Plan utilises the release mechanism in a European style intercreditor agreement to release security over and claims against non-US subsidiaries. It incorporates a novel structure providing for the assignment of senior lender claims. The Court held that this structure, in conjunction with a daylight lending facility, satisfied the cash bid condition to the intercreditor release mechanism, which is a typical condition to high yield intercreditor agreements.
The Plan provides for senior lenders to receive debt and equity in the new group in consideration of the transaction. It also gave each senior lender the ability, through a dual holdco structure, to elect the proportion of new debt to new equity it received.
The Linklaters team was led by restructuring partner Yushan Ng, in London, US bankruptcy partner Marty Flics in New York and Belgian banking partner David Ballegeer in Brussels.
For further information, please contact:
Sarah Peters
on +44 20 7456 2153 /
sarah.peters@linklaters.com or
Rupert Winlaw on +44 20 7456 3219 /
rupert.winlaw@linklaters.com