The purpose is to enable the company to stabilize its business operations and to ensure settlement of trade payables in the coming period.
Standstill Arrangement to Stabilize the Business of Agrokor
Banks participating in the Coordination Committee of Financial Creditors and the representatives of Agrokor signed today the Standstill agreement (“Standstill”). The purpose of the Standstill is to enable the company to stabilize its business operations, as well as to ensure settlement of trade payables in the coming period.
Standstill should facilitate the efforts of the company to resolve liquidity requirements, ensure the continued operations, preserve the value of the Group, and ensure a basis for a sustainable restructuring of the Group.
The paramount for the successful stabilization is the coordination of all key stakeholders to support building a long-term and sustainable business model.
In that respect, it has been agreed with the company that the management team will be enhanced. As a first step, it will be enforced by the function of Chief Restructuring Officer, being a key person responsible for the implementation of the stabilization program. Secondly, over the course of restructuring the roles of top management functions shall be replaced with independent professionals to manage a transparent and sustainable restructuring process.