Abengoa says restructuring plan backed by 86% of creditors

About 86% of the financial creditors of Spanish engineering and renewables group Abengoa SA (BME:ABG) have approved its restructuring agreement on Friday.

The company announced in a statement that it has now filed with Seville Mercantile Court number 2 a request for approval of the deal. The agreed plan had to be cleared by at least 75% of creditors.

The future governance, shareholder and financial structure of Abengoa will be settled at an extraordinary meeting scheduled for November 22. Subject to a favourable ruling from the insolvency court, Abengoa’s restructuring will be completed after that, thereby avoiding one of the largest bankruptcies in Spain to date.

“At Abengoa we are now eager and resolved to build a successful future in which both the financial stability and the regularity of our activities will be restored gradually,” the company said.

Abengoa initiated insolvency proceedings at home in November 2015 and in August 2016 reached a debt restructuring and recapitalisation agreement with a group of investors and creditors.

Choose your newsletter by Renewables Now. Join for free!