ABG Sundal Collier is acting as financial adviser to Bakkegruppen AS (“Bakkegruppen”) in connection with the restructuring of Bakkegruppen’s bank financing and NOK 500m bond

On January 26, 2024, the holders of the “Bakkegruppen AS FRN senior secured NOK 500,000,000 bonds 2021/2025” (the “Bondholders”) voted in favour of a Written Resolution to implement a restructuring framework that will enable Bakkegruppen to navigate the challenging market conditions in the residential development market. Both the Bondholders and a consortium of banks have agreed to, inter alia, extend the maturity of outstanding loans to Q1 2027 and only service interest and amortization upon sufficient available liquidity. Furthermore, the framework will secure the group new construction loans to commence several new building stages and provide visibility for continued funding of new projects. The Bondholders have agreed to convert up to NOK 250m of the NOK 500m bond into a hybrid instrument to ensure that the group maintains an adequate equity ratio. Nordic Trustee is authorized to finalize the documentation on behalf of the Bondholders to implement the framework within March 31, 2024.