Esken Limited, an aviation group, has announced that it has conducted a detailed review with advisers regarding the interaction between the terms of exchangeable bonds of £53.1 million issued by Esken Finance plc and recent events relating to the group. This includes the Recapitalisation Support Agreement acceded to by the Company and other members of the group. As a result of certain aspects of the Recapitalisation Support Agreement, the company has notified the trustee of the Exchangeable Bonds that one or more events of default have occurred under the terms of the Exchangeable Bonds.
The Exchangeable Bonds are set to mature on 8 May 2024, and the notification to the trustee does not automatically accelerate that maturity date. It has been clarified that the notification of default to the trustee has no impact on the recapitalization proposal being implemented in relation to London Southend Airport.
Esken Limited is actively working with its advisers and holders of a significant majority of the Exchangeable Bond on the implementation of the recapitalization proposal, as announced on 6 March. The company has stated that a further update will be provided when the process and timings have been settled.
For further information, inquiries can be directed to Teneo, and a contact person has been provided for any additional queries.
This update provides insight into Esken Limited's current situation regarding its Exchangeable Bonds and the ongoing efforts to implement the recapitalization proposal. The company is actively engaging with its advisers and bondholders to address the default events and move forward with the proposed recapitalization.