The Recylex group has yet to find a solution to the financial problems facing its German subgroup which include its lead-acid battery recycling and lead production activities. However, the company’s creditors have agreed to extend their deadline again, this time until the end of May. The financing partners had waived their right to prematurely terminate the current financing agreement, the group announced. They had also agreed to a postponement of repayments due at the end of 2018 and the end of March until the end of May. The deadlines have been pushed back repeatedly in recent months.
Recylex explained that the deferrals had been granted „on the basis of the state of the on-going discussion“. Consensus had already been reached on the main financial terms and conditions of the new financing framework. However, more time was necessary to coordinate between the parties involved and to finalise all aspects of the financing. The new financing agreements should now be finalised by the end of May 2019, the Franco-German recycler explained.
In addition, the bridge financing provided to Recylex by Glencore International AG had been increased to €17.0m and the repayment date postponed until 31 May, the company reported. Glencore, Recylex’s largest shareholder with a stake of around 30 per cent in the company, had originally provided a bridge credit of €10m. This figure was subsequently increased to €14m in April.
At the end of last month, Recylex had announced that it was considering divesting non-core operations. The concern specifically named Norzinco GmbH, which specialises in the recycling of zinc, and the special metals producer and recycler PPM Pure Metals GmbH (EUWID 10/2019).