Sygnity reaches standstill with creditors

WSE-listed IT company Sygnity reached a deal with bondholders representing some 99 percent of bonds and with banks Deutsche Bank and ING Bank Śląski in which financing institutions vowed not to take actions aimed at executing their rights tied to covenant breach by the firm. The deal will be in effect for two weeks, which is the time expected for both sides to reach a compromise. Earlier last week, Sygnity said it had received several demands for early bond repayments from several institutional investors. Back in June, the company informed that after analysis, it estimates that in H1 2016, it will make one-time book-keeping operations amounting to PLN 95.9 million, which will negatively impact its earnings by PLN 76.2 million, which would be in breach of several of the company's bonds and debts agreements.