During yesterday, Oscar Properties Holding (OPH) announced that the holders of the company’s senior unsecured bonds would terminate the loan for immediate payment and that repayment must take place immediately. Otherwise would request the company into bankruptcy.
Now that application has been submitted to the district court, Expressen reports.
The amount due for payment amounts to approximately SEK 884 million, including unpaid interest and fees.
As a basis for the bankruptcy application, it is invoked that Oscar Properties is insolvent.
Shortly after the media information, Oscar Properties left a short comment, which is similar to the one it has left before on several occasions:
“The company is conducting a dialogue with the bondholders to find a solution.”
Creditors in the bankruptcy filing include Oscar Engelbert, as well as Peter Norman and Markus Dragicevic – the latter two of whom left the company’s board in the past 24 hours.
According to information to Fastighetsvärlden, OP is a few days away, around the turn of the month, from further property sales – but the question is whether it can save the company, which seems to have nine lives. The sales must have been made at good levels, according to Fastighetsvärlden’s sources.
Oscar Engelbert is the founder, major owner and now also the only remaining board member and probably also CEO. When FV made contact with Engelbert at 6 p.m., he was of few words.
FV: Will Oscar Properties survive this too?
– No comments. I can hopefully say more next week.
Today, April 26, Oscar Properties must also submit its twice-delayed interim report.
The background to the bankruptcy filing is a bond loan. On July 5, 2021, OPH issued an unsecured bond loan with a volume of SEK 550 million within a framework of SEK 800 million with final maturity on July 5, 2024. Subscribers of the bonds include Nordic institutional investors, according to the bankruptcy filing that Fastighetsvärlden has seen. In January 2022, OPH issued additional bonds of 250 million under the bond terms. After the bond issue, the volume amounted to a total of SEK 800 million.
As of April 17, the bondholders’ claims amount to SEK 883,859,265, including interest.
According to the terms, OPH is expected to pay interest. OPH is said to have violated it since October 5.
The lawyers write: “It is clear that OPH cannot pay its debts and that this inability is not only temporary. OPH has been sold insolvent”
Oscar Properties is represented by Wesslau Söderqvist Law Firm. Applicants, who are the bondholders through Intertrust, are represented by Gernandt & Danielsson Advikatbyrå.
Intertrust has acted on the directives of a committee of bondholders representing 72 percent of the outstanding amount.
