Provisional insolvency administrator Werner Schneider has secured an agreement for a so-called “Massekredit” (similar to debtor-in-possession financing) for the insolvent manroland.
“Continuation of production and business operations at manroland is therefore secured,” says Schneider. “The company can continue to do business with customers and suppliers and we are sending a very positive signal to the market.”
The financing agreement was reached within only a few days of the decision to file for insolvency. “Immediate action was essential as an interruption of production does harm the company and makes the desired sales process more difficult,” says Schneider.
The mass credit has a volume of €55 million, €10 million of it in the form of a cash drawing facility. A further €45 million is a so-called ‘partial’ mass credit in which the lending banks release part of the forgone loans. This ensures the required liquidity without the banks having to provide new debt.
The financing secures fulfilment of liabilities with customers and suppliers that have placed or received orders with manroland after the company filed for insolvency. Liabilities originated before the filing will be dealt with as part of the insolvency proceedings later in the process.
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