Wed 04/12/2023 05:44 AM
In the face of a
liquidity crunch, German elevator parts maker Wittur has been gearing up for a pre-emptive restructuring. Wittur
hired Michael Keppel, an experienced chief restructuring officer, in early February 2023, and is
working with Houlihan Lokey as financial advisor and Kirkland & Ellis as legal advisor, according to sources.
Wittur’s lenders have also been appointing financial and legal advisors. And PSP Investments, which acquired a 32% stake in Wittur from Bain in 2019, has
reportedly hired financial advisory firm Moelis to assist in talks with the company.
One of the proposals
reportedly being considered to preserve liquidity involves equitizing the second lien. In connection with that proposal, investors have also queried whether the second lien lenders, including KKR, could provide new money debt that primes the first lien.
Reorg EMEA Covenants has conducted analysis as to whether the terms of the first lien documents would allow equitization of the second lien, and whether it would allow Wittur to incur priming debt. Request access to our analysis HERE. Please send the latest senior facilities agreement and also the Q3 2022 or Q4 2022 lender presentation to confirm you are confidential on the name.Reorg EMEA Covenants has also been fielding questions related to the terms of Wittur’s senior facilities agreement. If you have any questions, contact us at legaldx@reorg.com.
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