Soltec Group Restructuring Plan Approved

Cuatrecasas has advised the Soltec Group on the court approval of the joint restructuring plan for Soltec Power Holdings and Soltec Energías Renovables, which will allow both companies to ensure their continuity through (i) the restructuring of their commercial and financial debt; (ii) the entry into the share capital and acquisition of control by DVC Partners through capitalization of part of the new financing; and (iii) the injection of new funding through the disbursement of fresh loans and the granting of new guarantees.

Specifically, in the restructuring of Soltec Power Holdings and Soltec Energías Renovables, financial creditors that support the plan by providing new financing will benefit from a proportional reduction of their respective haircuts, while maintaining equality of treatment and liquidation quota. A similar mechanism has been included for trade creditors, who will face smaller write-offs if they opt to support the group by granting extended payment terms for invoices issued after court approval.