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MRIYA Agro Holding Replenishes Working Capital from its Creditors by $14 Million

MRIYA Agro Holding has received an additional tranche of the working capital financing of $14 million provided by its existing bondholders. The funds will be allocated to finance the completing of harvest as well as to prepare for the autumn sowing season. This brings the total working capital 2016 financing to 41 million.

“With this additional financing, MRIYA Agro Holding has secured further strong support from its bondholders, i.e. reputable international investors who believe in its restructuring and future success. However, the Company’s creditors are deeply concerned about the hostile and entirely unlawful takeover attempt initiated at MRIYA’s logistics base in the city of Khorostkiv in Ternopil region. If the situation is not resolved in the near future by the law enforcement and other Ukrainian authorities, this could have a negative effect on Mriya’s overall restructuring process and seriously damage Ukraine’s investment climate in the perception of international and local investors,” said Ton Huls, Chief Financial Officer, MRIYA Agro Holding.

As a reminder, in May 2016 MRIYA secured working capital financing of $27 million, of which $9m was to refinance the remaining 2015 Working Capital financing. The funds were provided by the Company’s current creditors as a bridge loan, i.e. temporary financing to cover MRIYA’s working capital needs until the harvesting campaign.