Russian property developer Mirax Group said on Thursday that it has completed the refinancing of $180 mln (EUR 143 mln) of Credit Linked Notes which were issued in March 2007 and were due for a put option on March 20, 2009. The new restructuring terms are virtually identical to the terms used by Mirax to restructure $265 mln of a Credit Suisse facility last month.
Russian property developer Mirax Group said on Thursday that it has completed the refinancing of $180 mln (EUR 143 mln) of Credit Linked Notes which were issued in March 2007 and were due for a put option on March 20, 2009. The new restructuring terms are virtually identical to the terms used by Mirax to restructure $265 mln of a Credit Suisse facility last month.
'By successfully restructuring over $500 mln of the company's debt due in 2009, Mirax Group is now well prepared to weather a storm caused by the world financial crisis,' said Dmitry Lutsenko, member of the Mirax board of directors.
In February Mirax said it had reached an agreement for a two-year restructuring of its medium-term debt under a deal with MDM Bank ($38.5 mln), Credit Europe Bank ($13.5 mln), and Credit Suisse ($265 mln). As a result, the amount of the corporations' unrestructured credit liabilities due in 2009 amounts to $133 mln.
Mirax chairman Sergey Polonsky said efforts in 2008 to cut costs, concentrate on projects under construction and restructure medium-term credit meant the company was well placed to weather the economic crisis. 'To date, I can say with confidence that implementation of those three steps has allowed the company to make it through the first wave of the crisis. This makes us surefooted in anticipation of the coming years 2009 and 2010,' he said.
