Netia plays a hat trick and transforms its $850 million debt

The process of restructuring Netia's $850 million debt through a debt for equity swop will continue despite the fact that fewer shareholders supported the idea than was settled in the agreement of March 5. The deal signed by the Committee of Bondholders with the main shareholders of Netia, Swedish Telecom, Telia and funds managed by Warburg Pincus, assumed that the condition for restructuring the debt would be to secure the consent of bondholders who own at least 95% of Netia bonds, however only those representing 91% of the debt value actually supported the agreement, a lower number than expected. The restructuring of the debt was to change it to 317 million shares and new bonds worth euro 50 million. The Committee and the management of the company agreed that the threshold would be lowered to 90% and restructuring the debt would go ahead. Today's general shareholders meeting will decide whether to take the next step to financially restructure the company. A final decision will also be made on the issue to allow current shareholders to acquire 64.8 million shares and employees to acquire 18.3 million shares of the second share issue. (Rzeczpospolita, p. B3; Prawo i Gospodarka, p. 5) P.W.