17 November 2015
MirLand Development Corporation plc
("MirLand" or the "Company")
Approval by the Preliminary Meetings of the
Settlement between the Company and its Bondholders
Mirland announces that, following preliminary
meetings held in Israel on 22 October 2015 ("Preliminary Meetings"), a proposed
Settlement Plan and amended trust deeds to the Bonds (Series A-F)
(the "Settlement" or the
"Settlement Plan") have been
approved between the Company and its Bondholders (Series A-F) (the
"Bondholders").
At the Preliminary Meetings, the below
resolutions were passed:
1. The Series C-F Bondholders
approved the Settlement with a majority greater than 75% of the par
value of each series.
2. The Series A-B Bondholders
did not approve the Settlement with the requisite majority, such
that the Series A Bondholders voted in favour of the Settlement
with a majority of 56% of the participating voting parties and the
Series B Bondholders voted against the Settlement with a majority
of 90% of the participating voting parties.
3. As a result of the above
and in accordance with the direction motion provided by the Tel
Aviv Court on 3 August 2015, the trustee of each Bond series shall
vote in the meeting of the creditors as follows:
i. the trustee of Series A Bonds shall
split the votes of the participants in
proportion to the voting majority at the Preliminary
Meeting being 56% for and
44% against;
ii. the trustee of Series B Bonds
shall, since the proportion of those opposed to the
Settlement is greater than 75% of the par value of the
series, vote against the
Settlement for the entire value of the series; and
iii. the trustees of Series C-F Bonds,
since the proportion of those in favour of the
Settlement is greater than 75% of the par value of the
series, vote in favour of the
Settlement for the entire value of the series.
4. In light of the above and
with particular consideration given to the Series A-B Bondholders
who were opposed to the Settlement and with regard to the simple
majority of the creditors needed to approve the Settlement in
Cyprus, the Company wishes to announce that the Bondholders (Series
A-F) have approved the Settlement with the Company.
The Company will now act to convene a meeting
of creditors pursuant to a ruling of the Cypriot Court on 14 July
2015.
The completion of the Settlement is subject to
various conditions precedent by deadlines set in the Settlement
documents, including, among other things, receiving approval of the
Settlement by the Cypriot court, receipt of approval of the Tel
Aviv Stock Exchange, and approval of the Company and its
shareholders.
There is no certainty that the conditions
precedent set out in the Settlement documents will be completed by
the set deadlines, nor that that the Settlement will be
completed.
MirLand Development Corporation
plc
Yevgeny Steklov
Yevgeny@mirland-development.com
|
+357 (25) 871 785
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FTI Consulting
Dido Laurimore / Ellie Sweeney/Tom
Gough
|
+44 20 3727 1000
|
Investec Bank plc
Jeremy Ellis / David Anderson
|
+44 20 7597 4000
|