Apcoa Wins Court Order to Extend 640 Million Euros of LoansAbigail Moses and Julie Miecamp
Apcoa Parking AG won approval from a London judge today to extend the maturity of 640 million euros ($885 million) of buyout loans as it seeks a restructuring agreement with lenders.
The deadline for repaying debt due April 25 has been pushed to July 25, with an option for an extension to Oct. 25, as part of the U.K. legal process known as a “scheme of arrangement.”
Apcoa has been in talks with lenders to restructure its debt since September and said in a filing last month it would be unable to repay the loans on time. The Stuttgart, Germany-based manager of more than 1 million parking spaces across Europe is seeking to cut debt by at least 320 million euros.
The proposal got support from holders of 86.9 percent of the debt, Barry Isaacs, the lawyer for the company, told the judge. No lenders filed objections to the plans, Apcoa said in court documents for a hearing today.
Paris-based Eurazeo bought Apcoa for 885 million euros using 660 million of loans in 2007 and is planning to exit after the restructuring is completed, according to a statement from Apcoa last month. It renegotiated terms of the debt in December 2009 and the value of its investment now may be zero, Eurazeo has said.
Centerbridge Partners LP, which holds more than 50 percent of Apcoa debt, was among the 75 percent of creditors needed to back the deal, according to a court filing.
Centerbridge bought some of Apcoa’s debt from other lenders last year and had at least 200 million euros of the loans in November, people with knowledge of the matter said at the time. It injected 50 million euros into the car park operator last year.
Apcoa changed the jurisdiction governing its debt to England so that it could apply for a loan extension in a London court, according to a company filing.