Avanti Communications, the UK satellite company, has warned that it will be put into administration unless shareholders accept a debt-for-equity swap that would allow it to raise fresh funding.
If approved, the proposed swap would leave US bondholders, led by Solus Funds, controlling 42 per cent of the companys stock. Avanti also wants to amend the terms of bonds due in 2021 and 2023. The plan would reduce its debt by 60 per cent and cut its annual cash interest payments by more than 70 per cent.
The company warned that it would default on interest payments related to some of its bonds if the restructu…
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