AES Drax obtains extension on standstill agreement

By Carlise Newman

Chicago, June 12 - AES Drax Holdings said it and its senior bondholders and lenders extended the standstill agreement which expired on May 31.

The company has entered into a further standstill agreement with the bond trustee under the eurobonds, certain senior bondholders representing a majority in sterling equivalent principal amount of the senior bonds, and the senior bond trustee. The agreement became effective on June 9 and will expire on June 30.

Previously, AES Drax had reached an agreement in principle with the bank steering committee and the ad hoc senior bond committee allowing the standstill agreement to expire on June 30.

As previously reported, on May 22, the senior creditors produced a counterproposal to the plan AES Drax had filed on March 17. AES Drax Holdings said it had reviewed and considered the terms and conducted detailed discussions with the senior creditors committee and added that an agreement on restructuring principles has been reached and will form the basis for further discussions.

AES Drax Energy is an energy company based in Surrey, England.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.