FF group unveils restructuring/rescue plan to bond holders; judicial council confirms travel ban for top execs

20 December 2018
180 Views

Beleaguered Folli Follie (FF) group on Tuesday unveiled a major restructuring plan that its outgoing management has negotiated with bond holders, with one point citing the submission next month of a new petition to seek court-ordered protection from creditors and even publishing what the effects of a possible bankruptcy will entail.

Based on the plan, FF cites cash reserves of 20 million euros at present, with financing needs of between 60 and 80 million euros in 2019.

The restructuring-cum-rescue plan is dependent upon the approval of a majority of bond holders.

As “N” has previously reported, the multinational retailer and accessory manufacturer will be broken up into a “good” and “bad” portion, with business activity also divided into four separate sectors.

The plan foresees the transfer of certain assets and obligations to a new company, indicatively called “NewCo”, with the remainder left with the current corporate scheme, i.e. “OldCo”.

The four separate sectors that the rescue plan proposes are the best-known brand name, i.e. Folli Follie; the UK-based brand name Links of London; fashion stores and department stores/cosmetics.

The Koutsolioustos family will also depart from the group’s management, as previously stated.

In a related development, a council of first instance justices on Wednesday affirmed a decision by a relevant prosecutor to ban travel overseas for the 14 current and former FF executives and financial officers charged with defrauding investors and money laundering.

On Monday, FF’s founders and the rest of the defendants appeared before the council’s justices in a bid to persuade them that they were not a flight risk, and that the prosecutor’s order should be overturned.

You may be interested

Bloomberg: EU may freeze customs union talks with Turkey over illegal drilling activities in Cyprus’ EEZ
FINANCE
shares10 views
FINANCE
shares10 views

Bloomberg: EU may freeze customs union talks with Turkey over illegal drilling activities in Cyprus’ EEZ

Panos - Jun 18, 2019

The European Union is set to threaten Turkey with retaliation over its drilling activities in the Eastern Mediterranean, adding to…

Prespes Agreement: One year to the day since the historic blunder
GREECE
shares9 views
GREECE
shares9 views

Prespes Agreement: One year to the day since the historic blunder

Panos - Jun 18, 2019

One year to the day since the day when Alexis Tsipras and Nikos Kotzias signed with their counterparts from the…

The great Stelios Vamvakaris is dead
ART
shares11 views
ART
shares11 views

The great Stelios Vamvakaris is dead

Panos - Jun 18, 2019

The great Greek composer and master bouzouki-player, Stelios Vamvakaris, 72, son of the patriarch of the Greek rebetiko music (a.k.a.…

Leave a Comment

Your email address will not be published.