/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/220914.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Wednesday, September 14, 2022, Vol. 23, No. 178 Headlines C R O A T I A DALMACIJAVINO: Badel 1862 to Take Over Wine, Vinegar Trademarks I R E L A N D BAIN CAPITAL 2018-1: Fitch Hikes Rating on Class F Debt to B+sf BAIN EURO 2022-2: Fitch Assigns Final 'B-sf' Rating to Class F Debt DRYDEN 29 2013: Moody's Cuts Rating on EUR12.8MM Cl. F Notes to B2 NEWHAVEN II: Fitch Ups Class F-R Notes Rating to 'B+sf' I T A L Y MOBY S.P.A.: Must Pay Investor's Counsel Fees in Dismissed Suit R O M A N I A HIDROCONSTRUCTIA: Antitrust Body to Probe Electromontaj Takeover S P A I N KRONOSNET TOPCO: S&P Assigned Prelim 'B+' ICR, Outlook Stable T U R K E Y ANADOLU ANONIM: Fitch Affirms 'B+' Insurer Fin'l. Strength Rating U N I T E D K I N G D O M AMPHORA INTERMEDIATE II: S&P Lowers ICR to 'CCC+', Outlook Negative AVONSIDE GROUP: RCapital Buys Two Units Following Administration CENTRAL BUILDING: Ordered to Pay Compensation to Sacked Employees DETRAFFORD ST GEORGES: Economic Challenges Prompt Administration HARPERS ENVIRONMENTAL: Enters Administration, 80 Jobs Affected - - - - - ============= C R O A T I A ============= DALMACIJAVINO: Badel 1862 to Take Over Wine, Vinegar Trademarks --------------------------------------------------------------- Annie Tsoneva at SeeNews reports that Croatian alcoholic beverages producer Badel 1862 said on Sept. 13 it is taking over for an undisclosed sum local winemaker Dalmacijavino's wine and vinegar trademarks in a bid to boost its market presence. According to SeeNews, the deal concerns the wine brands Dalmacijavino, as well as Drniski Merlot, Plavina, Sjor Bepo, Rose, Sv.Cecilija and other brands, and the Dalmacijavino vinegar brands, Marija Filipi, a marketing expert at Badel's wine production arm Vinoplod - Vinarija, told SeeNews in an email. Following the deal, Badel will be producing the wine and vinegar brands at its plants in Sibenik and Sisak, respectively, SeeNews discloses. Dalmacijavino has been in bankruptcy procedure since 2012, SeeNews notes. ============= I R E L A N D ============= BAIN CAPITAL 2018-1: Fitch Hikes Rating on Class F Debt to B+sf --------------------------------------------------------------- Fitch Ratings has upgraded Bain Capital Euro CLO 2018-1 DAC's class F notes and affirmed the others. RATING ACTIONS ENTITY / DEBT RATING PRIOR ------------- ------ ----- Bain Capital Euro CLO 2018-1 DAC A XS1713469598 LT AAAsf Affirmed AAAsf B-1 XS1713468780 LT AA+sf Affirmed AA+sf B-2 XS1713465257 LT AA+sf Affirmed AA+sf C XS1713468194 LT A+sf Affirmed A+sf D XS1713467469 LT BBB+sf Affirmed BBB+sf E XS1713467030 LT BB+sf Affirmed BB+sf F XS1713466909 LT B+sf Upgrade Bsf TRANSACTION SUMMARY Bain Capital Euro CLO 2018-1 DAC is a cash flow CLO mostly comprising senior secured obligations. The portfolio is managed by Bain Capital Credit, Ltd. and the reinvestment period ended in April 2022. KEY RATING DRIVERS Transaction Outside Reinvestment Period: The transaction exited its reinvestment period in April 2022 but the manager is able to reinvest unscheduled principal proceeds and sale proceeds from credit-risk obligations and credit-improved obligations. The trade date principal cash balance was EUR1.5 million as of the 08 August 2022 investor report and none of the notes has been repaid yet. Given the manager's flexibility to reinvest, Fitch analysis is based on a stressed portfolio where the weighted average rating factor (WARF), recovery rate (WARR), spread (WAS) and fixed-rate exposure have been stressed to their current limits. Further, the stressed WARR covenants are haircut by 1.5%, to reflect the old recovery rate definition in the transaction documents, which can result in on average a 1.5% inflation of the WARR relative to Fitch's latest CLO Criteria. Fitch's stressed portfolio is based on a weighted average life (WAL) of 4.3 years in line with the current limit. The shorter WAL covenant incorporated in Fitch's stressed portfolio analysis compared with previous reviews, together with the stable performance of the transaction to date led to the upgrade of the class F notes and affirmation of the other notes. The Stable Outlooks reflect Fitch's expectation of sufficient credit protection to withstand potential deterioration in the credit quality of the portfolio in stress scenarios at their current ratings. Further, Fitch expects limited deleveraging in the next 12-18 months as the deal can still reinvest. Stable Asset Performance: The transaction's metrics indicate stable asset performance. The transaction is currently 1.3% below par and is passing all collateral quality tests, coverage and portfolio profile tests except the WAL test. Exposure to assets with a Fitch-derived rating of 'CCC+' and below is 6.9% as calculated by the trustee. 'B'/'B-' Portfolio: Fitch assesses the average credit quality of the obligors at 'B'/'B-'. The Fitch WARF of the current portfolio reported by the trustee was 33.85 as of 08 August 2022 compared with a maximum of 37.25. High Recovery Expectations: Senior secured obligations comprise 99.5% of the portfolio. Fitch views the recovery prospects for these assets as more favourable than for second-lien, unsecured and mezzanine assets. The Fitch-calculated WARR of the current portfolio reported by the trustee was at 64.7% as of 08 August 2022. Diversified Portfolio: The portfolio is well-diversified across obligors, countries and industries. The top 10 obligor concentration is 12.5%, and no obligor represents more than 1.82% of the portfolio balance. Cash Flow Modelling: Fitch used a customised proprietary cash flow model to replicate the principal and interest waterfalls and the various structural features of the transaction, and to assess their effectiveness, including the structural protection provided by excess spread diverted through the par- value and interest-coverage tests. Deviation from MIR: The class B and D notes have been affirmed at 'AA+sf' and 'BBB+sf', which is a deviation from the model-implied ratings (MIR) of 'AAAsf' and 'A-sf', respectively. The one-notch deviation reflects the limited cushion on the stress portfolio at the MIR, limited deleveraging expectations and uncertain macro-economic conditions that increase end risk. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: An increase of the default rate (RDR) at all rating levels by 25% of the mean RDR and a decrease of the recovery rate (RRR) by 25% at all rating levels will result in downgrades of no more than five notches depending on the notes. While not Fitch's base case, downgrades may occur if build-up of the notes' credit enhancement following amortisation does not compensate for a larger loss expectation than initially assumed due to unexpectedly high levels of defaults and portfolio deterioration. Factors that could, individually or collectively, lead to positive rating action/upgrade: A reduction of the RDR at all rating levels by 25% of the mean RDR and an increase in the RRR by 25% at all rating levels would result in upgrades of up to three notches depending on the notes except for the class A-1 notes, which are already at the highest rating on Fitch's scale and cannot be upgraded. Further upgrades may occur if the portfolio's quality remains stable and notes continue to amortise, leading to higher credit enhancement across the structure. BAIN EURO 2022-2: Fitch Assigns Final 'B-sf' Rating to Class F Debt ------------------------------------------------------------------- Fitch Ratings has assigned Bain Euro CLO 2022-2 DAC's notes final ratings. RATING ACTIONS ENTITY / DEBT RATING PRIOR ------------- ------ ----- Bain Euro CLO 2022-2 DAC A XS2502880003 LT AAAsf New Rating AAA(EXP)sf B-1 XS2502880268 LT AAsf New Rating AA(EXP)sf B-2 XS2502880425 LT AAsf New Rating AA(EXP)sf C XS2502880771 LT Asf New Rating A(EXP)sf D XS2502880938 LT BBB-sf New Rating BBB-(EXP)sf E XS2502881159 LT BB-sf New Rating BB-(EXP)sf F (Unfunded) XS2511842168 LT B-sf New Rating B-(EXP)sf M XS2502881316 LT NRsf New Rating Sub. Notes XS2502881589 LT NRsf New Rating TRANSACTION SUMMARY Bain Capital Euro CLO 2022-2 DAC is a securitisation of mainly senior secured loans and secured senior bonds (at least 90%) with a component of senior unsecured, mezzanine and second-lien loans. Note proceeds have been used to fund a portfolio with a target par of EUR400 million. The portfolio is actively managed by Bain Capital Credit U.S. CLO Manager II, LP. The CLO has an approximately 4.4-year reinvestment period and an approximately 8.5-year weighted average life (WAL) KEY RATING DRIVERS Average Portfolio Credit Quality (Neutral): Fitch assesses the average credit quality of obligors to be in the 'B'/'B-' category. The Fitch weighted average rating factor (WARF) of the identified portfolio is 24.62. High Recovery Expectations (Positive): At least 90% of the portfolio comprises senior secured obligations. Fitch views the recovery prospects for these assets as more favourable than for second-lien, unsecured and mezzanine assets. The Fitch weighted average recovery rate (WARR) of the identified portfolio is 61.95%. Diversified Portfolio (Positive): The transaction has one matrix effective at closing and a forward matrix effective one year after closing, provided that the aggregate collateral balance (defaults at Fitch-calculated collateral value) will be at least at the target par. Both correspond to a top 10 obligor concentration limit at 26.5% and to a maximum fixed-rate asset limit of 10.0%. Portfolio Management (Neutral): The transaction has an approximately 4.4-year reinvestment period and includes reinvestment criteria similar to those of other European transactions. Fitch's analysis is based on a stressed-case portfolio with the aim of testing the robustness of the transaction structure against its covenants and portfolio guidelines. Cash Flow Modelling (Positive): The WAL used for the transaction's matrix and stress portfolio analysis is 12 months less than the WAL covenant at the issue date. This reduction to the risk horizon accounts for the strict reinvestment conditions envisaged by the transaction after its reinvestment period. These include, among others, passing both the coverage tests and the Fitch WARF test post reinvestment as well a WAL covenant that progressively steps down over time, both before and after the end of the reinvestment period. Fitch believes these conditions would reduce the effective risk horizon of the portfolio during the stress period. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: A 25% increase of the mean default rate (RDR) across all ratings and a 25% decrease of the recovery rate (RRR) across all ratings of the identified portfolio would have no impact on the class A, D and E notes and would lead to a downgrade of one to two notches for the class B, C and F notes. Based on the identified portfolio, downgrades may occur if the loss expectation is larger than initially assumed, due to unexpectedly high levels of default and portfolio deterioration. Due to the better metrics and shorter life of the identified portfolio, the class B and F notes display a rating cushion of two notches while the class C, D and E notes display a one-, three- and four-notch rating cushion, respectively. Should the cushion between the identified portfolio and the stress portfolio be eroded either due to manager trading or negative portfolio credit migration, a 25% increase of the mean RDR across all ratings and a 25% decrease of the RRR across all ratings of the stressed portfolio would lead to downgrades of up to five notches for the rated notes. Factors that could, individually or collectively, lead to positive rating action/upgrade: A 25% reduction of the mean RDR across all ratings and a 25% increase in the RRR across all ratings of Fitch's stress portfolio would lead to an upgrade of up to three notches for the rated notes, except for the 'AAAsf' rated notes, which are at the highest level on Fitch's scale and cannot be upgraded. During the reinvestment period, based on Fitch's stress portfolio, upgrades may occur on better-than-expected portfolio credit quality and a shorter remaining WAL test, allowing the notes to withstand larger than expected losses for the remaining life of the transaction. After the end of the reinvestment period, upgrades may occur in case of stable portfolio credit quality and deleveraging, leading to higher credit enhancement and excess spread available to cover for losses on the remaining portfolio. DATA ADEQUACY Bain Euro CLO 2022-2 DAC The majority of the underlying assets or risk presenting entities have ratings or credit opinions from Fitch and/or other Nationally Recognized Statistical Rating Organizations and/or European Securities and Markets Authority registered rating agencies. Fitch has relied on the practices of the relevant groups within Fitch and/or other rating agencies to assess the asset portfolio information or information on the risk presenting entities. Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied upon for the agency's rating analysis according to its applicable rating methodologies indicates that it is adequately reliable. DRYDEN 29 2013: Moody's Cuts Rating on EUR12.8MM Cl. F Notes to B2 ------------------------------------------------------------------ Moody's Investors Service has taken a variety of rating actions on the following notes issued by Dryden 29 Euro CLO 2013 Designated Activity Company: EUR21,600,000 Class B-1 Senior Secured Floating Rate Notes due 2032, Upgraded to Aa1 (sf); previously on Mar 10, 2021 Affirmed Aa2 (sf) EUR40,000,000 Class B-2 Senior Secured Fixed Rate Notes due 2032, Upgraded to Aa1 (sf); previously on Mar 10, 2021 Affirmed Aa2 (sf) EUR12,800,000 Class F Mezzanine Secured Deferrable Floating Rate Notes due 2032, Downgraded to B2 (sf); previously on Mar 10, 2021 Affirmed B1 (sf) Moody's has also affirmed the ratings on the following notes: EUR230,000,000 Class A Senior Secured Floating Rate Notes due 2032, Affirmed Aaa (sf); previously on Mar 10, 2021 Affirmed Aaa (sf) EUR23,600,000 Class C Mezzanine Secured Deferrable Floating Rate Notes due 2032, Affirmed A2 (sf); previously on Mar 10, 2021 Upgraded to A2 (sf) EUR20,800,000 Class D Mezzanine Secured Deferrable Floating Rate Notes due 2032, Affirmed Baa2 (sf); previously on Mar 10, 2021 Upgraded to Baa2 (sf) EUR21,600,000 Class E Mezzanine Secured Deferrable Floating Rate Notes due 2032, Affirmed Ba2 (sf); previously on Mar 10, 2021 Affirmed Ba2 (sf) Dryden 29 Euro CLO 2013 Designated Activity Company, issued in December 2013, refinanced in January 2017 and reset in January 2018, is a collateralised loan obligation (CLO) backed by a portfolio of mostly high-yield senior secured European loans. The portfolio is managed by PGIM Limited. The transaction's reinvestment period ended in July 2022. RATINGS RATIONALE The rating upgrades on the Class B-1 and Class B-2 notes are primarily a result of the benefit of the transaction having reached the end of the reinvestment period in July 2022. The rating downgrade on the Class F notes is primarily a result of the increased defaults and the lower recovery rate of the portfolio since August 2021. In light of reinvestment restrictions during the amortisation period, and therefore the limited ability to effect significant changes to the current collateral pool, Moody's analysed the deal assuming a higher likelihood that the collateral pool characteristics would maintain an adequate buffer relative to certain covenant requirements. In particular, Moody's assumed that the deal will benefit from a shorter amortisation profile than it had assumed at the last rating action in March 2021. The key model inputs Moody's uses in its analysis, such as par, weighted average rating factor, diversity score and the weighted average recovery rate, are based on its published methodology and could differ from the trustee's reported numbers. In its base case, Moody's used the following assumptions: Performing par and principal proceeds balance: EUR396.9m Defaulted Securities: EUR4.9m Diversity Score: 58 Weighted Average Rating Factor (WARF): 3,065 Weighted Average Life (WAL): 4.11 years Weighted Average Spread (WAS) (before accounting for Euribor floors): 3.89% Weighted Average Coupon (WAC): 4.69% Weighted Average Recovery Rate (WARR): 41.26% Par haircut in OC tests and interest diversion test: 0.36% The default probability derives from the credit quality of the collateral pool and Moody's expectation of the remaining life of the collateral pool. The estimated average recovery rate on future defaults is based primarily on the seniority of the assets in the collateral pool. In each case, historical and market performance and a collateral manager's latitude to trade collateral are also relevant factors. Moody's incorporates these default and recovery characteristics of the collateral pool into its cash flow model analysis, subjecting them to stresses as a function of the target rating of each CLO liability it is analysing. Methodology Underlying the Rating Action: The principal methodology used in these ratings was "Moody's Global Approach to Rating Collateralized Loan Obligations" published in December 2021. Counterparty Exposure: The rating action took into consideration the notes' exposure to relevant counterparties, such as account bank and swap provider, using the methodology "Moody's Approach to Assessing Counterparty Risks in Structured Finance" published in June 2022. Moody's concluded the ratings of the notes are not constrained by these risks. Factors that would lead to an upgrade or downgrade of the ratings: The rated notes' performance is subject to uncertainty. The notes' performance is sensitive to the performance of the underlying portfolio, which in turn depends on economic and credit conditions that may change. Additional uncertainty about performance is due to the following: Portfolio amortisation: The main source of uncertainty in this transaction is the pace of amortisation of the underlying portfolio, which can vary significantly depending on market conditions and have a significant impact on the notes' ratings. Amortisation could accelerate as a consequence of high loan prepayment levels or collateral sales by the collateral manager or be delayed by an increase in loan amend-and-extend restructurings. Fast amortisation would usually benefit the ratings of the notes beginning with the notes having the highest prepayment priority. Recovery of defaulted assets: Market value fluctuations in trustee-reported defaulted assets and those Moody's assumes have defaulted can result in volatility in the deal's over-collateralisation levels. Further, the timing of recoveries and the manager's decision whether to work out or sell defaulted assets can also result in additional uncertainty. Recoveries higher than Moody's expectations would have a positive impact on the notes' ratings. In addition to the quantitative factors that Moody's explicitly modelled, qualitative factors are part of the rating committee's considerations. These qualitative factors include the structural protections in the transaction, its recent performance given the market environment, the legal environment, specific documentation features, the collateral manager's track record and the potential for selection bias in the portfolio. All information available to rating committees, including macroeconomic forecasts, input from other Moody's analytical groups, market factors, and judgments regarding the nature and severity of credit stress on the transactions, can influence the final rating decision. NEWHAVEN II: Fitch Ups Class F-R Notes Rating to 'B+sf' ------------------------------------------------------- Fitch Ratings has upgraded Newhaven II CLO DAC's class F notes and revised the Outlooks on the class B to F notes to Stable from Positive. RATING ACTIONS ENTITY / DEBT RATING PRIOR ------------- ------ ----- Newhaven II CLO DAC A-1-R XS1767787333 LT AAAsf Affirmed AAAsf A-2-R XS1769793990 LT AAAsf Affirmed AAAsf B-1-R XS1767788067 LT AA+sf Affirmed AA+sf B-2-R XS1767788810 LT AA+sf Affirmed AA+sf C-R XS1767789461 LT A+sf Affirmed A+sf D-R XS1767790394 LT BBB+sf Affirmed BBB+sf E-R XS1767789974 LT BB+sf Affirmed BB+sf F-R XS1767790121 LT B+sf Upgrade Bsf TRANSACTION SUMMARY Newhaven II CLO DAC is a cash flow CLO mostly comprising senior secured obligations. The portfolio is managed by Bain Capital Credit, Ltd and the reinvestment period ended on February 16, 2022. KEY RATING DRIVERS Transaction Outside Reinvestment Period: Newhaven II CLO DAC exited its reinvestment period on February 16, 2022 but the manager is able to reinvest unscheduled principal proceeds and sale proceeds from credit-risk and credit-improved obligations. The class A-1-R and A-2-R notes have repaid by around EUR1.85 million since the end of the reinvestment period. Given the manager's flexibility to reinvest, Fitch analysis is based on a stressed portfolio where the weighted average rating factor (WARF), recovery rate (WARR), spread (WAS), average life (WAL) and fixed-rate exposure have been stressed to their current limits. Fitch's stressed portfolio for Newhaven II CLO DAC is based on a WAL of 4.45 years. Further, the stressed WARR covenants are haircut by 1.5% to reflect the old RR definition in the transaction documents, which can result in on average a 1.5% inflation of the WARR relative to Fitch's latest CLO Criteria. The shorter WAL covenant incorporated in Fitch's stressed portfolio analysis compared with previous reviews, together with the transaction's stable performance to date led to the upgrade of class F notes and affirmation of all other notes. The Stable Outlooks reflect Fitch's expectation of sufficient credit protection to withstand potential deterioration in credit quality of the portfolio in stress scenario at their current ratings. Furthermore, Fitch expects limited deleveraging in the next 12-18 months as the transaction can still reinvest. Resilient Asset Performance: The transaction's metrics indicate resilient asset performance. Despite the transaction currently being 1.59% below par, it is passing all collateral-quality tests, coverage and portfolio-profile tests. Exposure to assets with a Fitch-derived rating (FDR) of 'CCC+' and below as calculated by the trustee is 6.90%. 'B'/'B-' Portfolio: Fitch assesseses the average credit quality of the obligors at 'B'/'B-'. The Fitch-calculated weighted WARF of the current portfolio reported by the trustee was 33.43 as of 3 August 2022 compared with the covenanted value of 35.00. High Recovery Expectations: Senior secured obligations comprise 98.4% of the portfolio. Fitch views the recovery prospects for these assets as more favourable than for second-lien, unsecured and mezzanine assets. The Fitch WARR of the current portfolio reported by the trustee is 65.5% versus a covenanted minimum of 62.1%. Diversified Portfolio: The portfolio is well-diversified across obligors, countries and industries. The top 10 obligor concentration calculated by Fitch is 12.75%, and no obligor represents more than 1.73% of the portfolio balance as calculated by Fitch. Cash Flow Modelling: Fitch used a customised proprietary cash flow model to replicate the principal and interest waterfalls and the various structural features of the transaction, and to assess their effectiveness, including the structural protection provided by excess spread diverted through the par- value and interest-coverage tests. Deviation from MIR: The class B-1R/B-2R and D-R notes have been affirmed at 'AA+sf' and 'BBB+sf', which is a deviation from their model-implied ratings (MIR) of 'AAAsf' and 'Asf'. The class F-R notes have been upgraded to 'B+sf', which is a deviation from the MIR of 'BB-sf'. The deviations reflect the limited cushion on the stress portfolio at MIR, limited deleveraging expectations and uncertain macro-economic conditions. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: An increase of the default rate (RDR) at all rating levels by 25% of the mean RDR and a decrease of the recovery rate (RRR) by 25% at all rating levels of the current portfolio would result in downgrades of no more than three notches for the rated notes. While not Fitch's base case, downgrades may occur if build-up of the notes' credit enhancement following amortisation does not compensate for a larger loss expectation than initially assumed due to unexpectedly high levels of defaults and portfolio deterioration. Due to the better metrics of the current portfolio than that of the Fitch-stressed portfolio and the deviation from the MIRs, the class D-R notes and E-R notes have a rating cushion of one notch, class F-R notes have a rating cushion of two notches and the other classes of notes have no rating cushion. Factors that could, individually or collectively, lead to positive rating action/upgrade: A reduction of the RDR at all rating levels by 25% of the mean RDR and an increase in the RRR by 25% at all rating levels of the Fitch-stressed portfolio would result in upgrades of up to three notches for the rated notes except for the 'AAAsf' rated notes, which are at the highest level on Fitch's scale and cannot be upgraded. Further upgrades may occur on stable portfolio credit quality and deleveraging, leading to higher credit enhancement and excess spread available to cover losses in the remaining portfolio. ========= I T A L Y ========= MOBY S.P.A.: Must Pay Investor's Counsel Fees in Dismissed Suit --------------------------------------------------------------- New York Supreme Court Justice Jennifer Schecter has ordered Moby S.p.A. to pay $150,000 to counsel for defendant Antonello Di Meo in the recently dismissed matter Moby S.p.A v. Morgan Stanley, Morgan Stanley & Co. LLC, Antonello Di Meo, Massimo Piazzi, Dov Hillel Drazin. Last month, Judge Schecter granted motions to dismiss filed by Morgan Stanley and distressed investor Di Meo, dismissing with prejudice all four tortious interference claims brought by Moby S.p.A. In ordering that attorneys' fees be paid to Di Meo, the court agreed with the argument that New York law applied in this matter, and that applying the statute in New York, although the underlying conduct occurred in Italy, is not "impermissibly extraterritorial" since the matter was brought to this court. The court also confirmed that Moby had filed a baseless SLAPP suit, affirming the importance of the Anti-SLAPP statute. This dispute confirmed a significant issue of apparent first-impression: whether suing a creditor for his conduct in a foreign bankruptcy proceeding falls within the ambit of New York's recently amended Anti-SLAPP statute, according to Di Meo's counsel, Jed I. Bergman, Esq., at Glenn Agre Bergman & Fuentes. Furthermore, this matter could set precedent for future disputes in which parties improperly attempt to weaponize New York courts against protected foreign communication, Bergman added. Ancillary to its restructuring proceeding, Moby brought suit in the New York Supreme Court against two minority bondholders, Morgan Stanley and Di Meo, as well as other Morgan Stanley entities and employees, alleging tortious interference with Moby's contracts and prospective business relations. In the August 5 ruling, Justice Schecter agreed with Glenn Agre partner Bergman's argument on behalf of Di Meo that Moby's claims against Di Meo for tortiously interfering with a sale of two vessels to Danish company DFDS -- counts one and two of Moby's complaint -- are barred by res judicata under the "two-dismissal rule" because those claims were included in two prior complaints that were both voluntarily dismissed by Moby. The judge rejected Moby's contention that the two-dismissal rule does not apply because the purpose of the two suits allegedly was not to "harass" Di Meo. In her August ruling, Justice Schecter suggested she believes Di Meo may be entitled to attorneys' fees under the statute for counts one and two of Moby's complaint to the extent they were based on Di Meo's filing of an involuntary bankruptcy against Moby in Italy and a related request for a temporary restraining order from the Italian court, both of which may qualify as protected public communications in a public forum. Moby is represented by: Juan Morillo, Esq. Alain Jaquet, Esq. QUINN EMANUEL URQUHART & SULLIVAN LLP 1300 I St. NW #900 Washington DC, 20005 E-mail: juanmorillo@quinnemanuel.com alainjaquet@quinnemanuel.com Defendants Morgan Stanley, Piazzi and Drazin are represented by: Michael Paskin, Esq. CRAVATH SWAIN AND MOORE LLP 825 Eighth Avenue New York, NY 10019 E-mail: mpaskin@cravath.com Defendant Di Meo is represented by: Jed Bergman, Esq. GLENN AGRE BERGMAN & FUENTES LLP 1185 Avenue of the Americas, 22nd Floor New York, NY 10036 E-mail: jbergman@glennagre.com Moby S.p.A. is an Italian company that transports passengers and freight between Italy, France and various islands in the Mediterranean Sea. It has been embroiled in a years-long restructuring before the Civil Bankruptcy Section of the Court of Milan, Italy. ============= R O M A N I A ============= HIDROCONSTRUCTIA: Antitrust Body to Probe Electromontaj Takeover ---------------------------------------------------------------- Razvan Timpescu at SeeNews reports that Romania's anti-trust authority said that it is looking into the agreed takeover of hydropower and hydrotechnical construction company Hidroconstructia and its subsidiaries by Electromontaj, an electricity infrastructure company. According to SeeNews, the antitrust body said in a statement on Sept. 12 in order to determine whether the concentration is compatible with the normal competitive environment, the Competition Council will consider the notified transaction under the merger regulation. Hidroconstructia originates from the former General Department of the Bicaz HPP founded in 1950 as the sole constructor of the hydropower installation at Bicaz, northeastern Romania. The company has been insolvent since January 2022, when it filed a court request in Bucharest, SeeNews relates. ========= S P A I N ========= KRONOSNET TOPCO: S&P Assigned Prelim 'B+' ICR, Outlook Stable ------------------------------------------------------------- S&P Global Ratings assigned its preliminary 'B+' issuer credit rating to Spain-based KronosNet Topco and its subsidiary KronosNet CX Bidco 2022 S.L., which will be issuing the debt. S&P also assigned its preliminary 'B+' issue rating to the group's term loan B (TLB). The stable outlook reflects S&P's view that KronosNet will face no material integration issues following the merger and reduce debt to EBTIDA below 5.0x by year-end 2023, aided by increased EBITDA generation and positive free operating cash flow (FOCF) in the next 12 months based on supportive market trends in its CRM and BPO markets. The rating action follows KronosNet's announcement that it plans to acquire and merge the customer relationship management (CRM) and business process outsourcing (BPO) businesses Konecta and Comdata. To finance the transaction, which S&P expects will close in September 2022, KronosNet plans to issue a EUR450 million senior secured TLB and a EUR350 million TLA through its subsidiary, KronosNetCX Bidco 2022. ICG, which currently has an 49.99% stake in Konecta, also intends to make a significant equity contribution, alongside Konecta's and Comdata's management. The combined group's business risk profile will be supported by its leading positions in its main markets. S&P considers the two companies' operations complementary. Konecta holds leading positions in the Spanish, Colombian, Peruvian, and Argentinean markets while Comdata has only minor operations in Spain and Latin America that are struggling. Meanwhile Comdata will bring a No. 1 position to the group in Italy and No. 3 position in France where Konecta has no operations. The combined group will therefore be well placed in attractive markets, which S&P expects to expand above national GDP growth levels in coming years, driven by outsourcing trends given the higher quality service provided at a lower cost by specialized industry players, flexibility, higher digitalization, and increasing focus on client satisfaction. The merger of Konecta with Comdata will result in a better diversified group. S&P said, "We forecast that KronosNet will generate about 67% of its turnover in Spain, Italy, and France. Konecta previously generated close to half of its turnover Latin America, which we consider as high risk from a macroeconomic standpoint, particularly regarding currency. KronosNet will remain focused on the traditional CRM and BPO industries, that is the telecommunication and banking sectors. We expect these two sectors will provide approximatively 58% of sales, although less than the 72% that Konecta saw before the merger. The top-10 client concentration will also improve to 41% from 63%." This is further mitigated by the fact that KronosNet will typically have more than 10 independent contracts with each of its largest clients. The combined group will benefit from a highly predictable revenue base and the ability to pass higher costs onto its clients. About 96% of its 2022 budgeted revenue is already secured. Furthermore, the two companies display strong client loyalty with average client relationships of more than 16 years. Konecta's churn rate is very low at 4% and is exclusively related to contracts that Konecta decided not to renew as they yielded insufficient margins. Konecta typically benefit from multiyear contracts with tacit reconduction clauses. Furthermore, more than half of these contracts contain indexation clauses that allow the company to fully pass on inflation costs. Konecta has a solid track record in terms of favorably renegotiating contracts without automatic indexation clauses. The combined group will also be able to leverage its near and offshore platforms to reduce costs. The combined group will operate in a competitive, labor-intensive, and fragmented industry characterized by moderately low margins and barriers to entry. Our assessment of KronosNet's business risk profile is constrained by its comparison with larger and more profitable peers. S&P expects EUR2 billion in sales for 2022, which will make KronosNet a leading regional player. However, its presence in only 23 countries means it lacks the global footprint of players like Teleperformance or Marnix French ParentCo SAS (Webhelp), which operate in 83 and 50 countries, respectively, with typically high market shares. These larger scales and leading market shares convert into stronger competitive and cost advantages. For 2021, Teleperformance's S&P Global Ratings-adjusted EBITDA margin was 20.7% and Webhelp's was 17.0%, compared with 9.8% for the combined group on a restated basis. This can also be explained by the high restructuring costs that Comdata has incurred since 2020 when it faced severe difficulties in Spain and Latin America due to mismanagement and a major telecom contract loss in France. However, management has addressed these issues, and Comdata's adjusted EBITDA margins increased to 8.9% in 2021 from 2.9% in 2020. S&P said, "We forecast that KronosNet will perform solidly in 2022 on a pro forma basis. We expect sales will increase by 5%-6% on a pro forma basis in 2022, despite Comdata experiencing some minor contracts roll-offs. This will be more than compensated by new contract wins as well as price increases for both Konecta and Comdata, given the inflationary environment. This will protect adjusted EBITDA margins, allowing them to increase to 10.5%-11.5% in 2022, from 9.8% in 2021 on a restated basis. Margins will particularly benefit from the continuous recovery in profitability at Comdata, following its difficulties, particularly in Spain and Latin America. "Despite adjusted leverage of 5.8x on a pro forma basis at year-end 2022, we expect KronosNet's credit metrics will remain within our aggressive financial risk profile category over the long term. Our view of KronosNet's financial risk profile stems from our projection of adjusted debt to EBITDA at 4.5x-5.0x at year-end 2023, following further deleveraging to below 4.5x in 2024. We also forecast funds from operations (FFO) to debt at 11%-12% in 2023 and 12.5%-13.5% in 2024. We treat the EUR175 million shareholder loan from ICG as equity, because the governing documents contain features that we believe make them act as subordinated loss-absorbing capital, such as stapling provisions, and the absence of contractual payments due before the maturity of the loans. Included in our EUR1.25 billion calculation of debt are the EUR450 million TLB and the EUR350 million TLA, about EUR105 million of local debt, over EUR150 million of operating leases adjustments and a similar amount of factoring liabilities, close to EUR25 million outstanding guarantees, EUR15 million pension liabilities, and about EUR3.5 million of put options on minorities and earn outs. Moreover, we forecast that FFO to cash interest coverage will remain at 3.0x-3.5x in 2023 and 2024, despite the likely increase in the Euro Interbank Offered Rate, because the company intends to enter into a swap contract with banks to protect itself against any potential increase, which we view as a positive. "The preliminary ratings take into account that post-merger KronosNet will be financial sponsor owned. ICG will become the majority owner (78% of equity). We assess ICG as a financial sponsor, meaning that it typically tolerates high leverage and implements shareholder returns policies. However, we note ICG's track record of maintaining S&P Global Ratings-adjusted debt to EBITDA below 5x on both Girlada and other rated entities. We therefore assign our financial sponsor-5 modifier based on our expectation that the company will continue to focus on deleveraging upon completion of the transaction and debt to EBITDA will be below 5x by year-end 2023. We consider as positive that the sponsor does not intend to take any dividends in the short term, and is reinvesting EUR950 million of fresh equity into the transaction following the primary leveraged buyout in 2019. We also view positively that Konecta's management rolls over part of its equity into KronosNet, and Comdata's CEO contributes all of his equity stake. We would expect that if any further large acquisitions were to occur, part of the funding would likely come from equity contributions, which we would view as credit positive. "The final ratings will depend on the successful completion of the proposed transaction and receipt and satisfactory review of all final transaction documentation. Accordingly, the preliminary rating should not be construed as evidence of final ratings. If we do not receive final documentation within a reasonable time frame, or if the final documentation departs from the material reviewed, we reserve the right to withdraw or revise the ratings. Potential changes include, but are not limited to, use of loan proceeds, maturity, size, and conditions of the loans, financial and other covenants, security, and ranking. "The stable outlook reflects our view that the newly created KronosNet group will face no material integration issues following the merger and will deleverage below 5x by year-end 2023 while generating FFO to debt of about 12% and FOCF above EUR50 million, aided by increasing EBITDA generation based on supportive market trends in its CRM and BPO markets." Downside scenario S&P said, "We could lower the rating if growth headwinds in KronosNet's European and Latin American markets result in a continued revenue decline, or if high restructuring costs or operation missteps compress EBITDA margins to below 10% or result in prolonged weak FOCF. "We could also lower the rating if the company adopts a more aggressive financial policy (such as significant debt-funded acquisitions) and maintains adjusted debt to EBITDA above 5x. Even though we understand it is highly unlikely, we could lower the rating if KronosNet's current financial sponsor and an affiliate take a material participation in KronosNet's TLB, which we believe would create conflicting interests within the group. This would cause us to reconsider whether the shareholder loan has sufficient equity-like characteristics to be treated as equity when calculating credit metrics." Upside scenario S&P said, "We could take a positive rating action if KronosNet further improves its market share and customer and geographic diversification, and EBITDA margins improve beyond 15%, which we consider average for the general support services sector. The latter could happen if the merger progresses as expected, which would mean exceptional costs stay below the levels we expect. "For an upgrade, we would simultaneously need to see KronosNet adopt a more conservative financial policy, with adjusted debt to EBITDA staying below 4x, which would likely follow if the sponsor were to relinquish effective control over KronosNet." Environmental, Social, And Governance ESG credit indicators: E-2; S-3; G-3 S&P said, "Social factors are a moderately negative consideration in our credit rating analysis of KronosNet, reflecting the potential for personal data and security breaches. We see these as risks for CRM service providers in general. Such risks could arise through increased regulatory oversight and fines or reputational damage, affecting a firm's competitive advantage. We do not assess KronosNet as demonstrating company-specific weaknesses in the processing of large volumes of client data relative to other CRM providers, as we believe Konecta will help Comdata in resolving its past weaknesses. Governance is also a moderately negative consideration, as it is for most rated entities owned by private-equity sponsors. We believe the company's highly leveraged financial risk profile points to corporate decision-making that prioritizes the interests of the controlling owners. This also reflects private-equity sponsors' generally finite holding periods and focus on maximizing shareholder returns." =========== T U R K E Y =========== ANADOLU ANONIM: Fitch Affirms 'B+' Insurer Fin'l. Strength Rating ----------------------------------------------------------------- Fitch Ratings has affirmed Anadolu Anonim Turk Sigorta Sirketi's (Anadolu Sigorta) Insurer Financial Strength (IFS) Rating at 'B+' and National IFS Rating at 'AA+(tur)'. The Outlooks are Negative on the IFS Rating and Stable on the National IFS Rating. The affirmation reflects Anadolu Sigorta's 'Most Favourable' business profile in Turkiye relative to other insurers', high asset risk driven by its substantial exposure to Turkish assets, as well as adequate but pressured capitalisation and profitability. The Negative Outlook on the IFS Rating reflects the same on the Turkish sovereign rating, which affects the operating environment where the insurer operates and the credit quality of its investment portfolio. KEY RATING DRIVERS Leading Turkish Insurer: Anadolu Sigorta's business profile is supported by the company's very strong position in the highly competitive Turkish insurance market. Anadolu Sigorta was the second largest non-life insurer in Turkiye at end-1H22, with a market share of around 12%. Its business profile is, however, under pressure from the adverse operating environment in Turkiye, although we expect the company's credit profile to remain resilient. Substantial Exposure to Turkish Assets: Anadolu is highly exposed to domestic assets. The majority of Anadolu Sigorta's investment portfolio comprised Turkish government and local issuer bonds and deposits in Turkish banks at end-1H22. The company's credit quality is therefore highly correlated with that of Turkish banks and the sovereign. Assets risk remains the main rating weakness for the company. Capitalisation Under Pressure: The company's capitalisation, as measured by Fitch's Prism Factor-Based Capital Model (FBM), was unchanged at 'Adequate' at end-2021, but substantially weaker within the category due to increased asset risk following Fitch's sovereign downgrade in July 2022. Its regulatory solvency ratio was above 100% at end-2021 and at end-1H22. We expect Anadolu Sigorta's Prism FBM score to remain under pressure in 2022, following the adverse Turkish macro-economic environment with very high claims inflations and the possibility of further sovereign downgrades. Profitability Under Pressure: Anadolu Sigorta's earnings remained overall resilient as it reported net income of TRY376 million in 1H22 (1H21: TRY311 million). As in prior years, financial performance was supported by investment result as underwriting result significantly deteriorated. The reported combined ratio, however, weakened to 128% in 1H22 (1H21: 116%), driven by worsening performance of the motor third party liability line due to spiralling inflation and minimum wage increases in December 2021 and July 2022. We expect Anadolu Sigorta to report an overall positive net result in 2022 but underwriting performance to remain heavy loss-making. National Rating Reflects Robust Franchise: The company's 'AA+(tur)' National IFS Rating largely reflects its robust franchise in Turkiye, and regulatory solvency ratio of consistently over 100%. RATING SENSITIVITIES IFS RATING Factors that could, individually or collectively, lead to negative rating action/downgrade: - Material deterioration in the company's investment quality and business-profile prospects, which could stem from a downgrade of Turkiye's Long-Term Local-Currency Issuer Default Rating (IDR) or major Turkish banks' ratings Factors that could, individually or collectively, lead to positive rating action/upgrade: - The Outlook could be revised to Stable if the Outlook on Turkiye's Long-Term Local-Currency IDR or that on major Turkish banks' ratings, is revised to Stable NATIONAL IFS RATING Factors that could, individually or collectively, lead to positive rating action/upgrade: -- Return on equity exceeding inflation levels for a sustained period, provided the company's market position remains very strong Factors that could, individually or collectively, lead to negative rating action /downgrade: -- A decline in the company's regulatory solvency ratio to below 100% on a sustained basis -- Substantial deterioration of the company's market position in Turkiye ESG CONSIDERATIONS Unless otherwise disclosed in this section, the highest level of ESG credit relevance is a score of '3'. This means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. =========================== U N I T E D K I N G D O M =========================== AMPHORA INTERMEDIATE II: S&P Lowers ICR to 'CCC+', Outlook Negative ------------------------------------------------------------------- S&P Global Ratings lowered our long-term issuer credit rating on Amphora Intermediate II Ltd. (Accolade Wines) to 'CCC+' from 'B-'. S&P also lowered its issue-level rating on the GBP301 million term loan B to 'CCC+' from 'B-'. The negative outlook reflects S&P's view of downside risks to Accolade Wines' ability to generate positive FOCF and deleverage over the next 12 months. The rating action reflects the multiple operational headwinds Accolade Wines faced in fiscals 2021 and 2022, leading to weaker-than-expected cash flows and credit metrics versus our last base case scenario. In fiscal 2022, Accolade Wines posted net revenue of A$803 million, a decline of 4.9% year on year, mainly driven by volume decline (4.1%) on the back of COVID-19-related lockdowns in Asia and a reduction in consumption of cask wine in Australia and New Zealand. The European region saw consumption volume broadly in line with the previous year, but a change in product mix toward lower-priced items has resulted in a slight net revenue decline of about 1.7%. Profitability decreased, with S&P Global Ratings-adjusted EBITDA estimated at about A$65 million-A$72 million in fiscal 2022 (compared with A$82 million last year) due to higher supply chain costs, as well as raw materials, energy, and freight, especially in the second half of the year. FOCF remained largely negative and weaker than expected at about A$150 million-A$160 million in 2022 (compared with negative A$58 million last year) due to lower EBITDA and large negative working capital movements despite slower capital expenditures (capex) of A$42 million. S&P understands the company has invested significantly in inventory during the year because it expected larger volume and sales. Adjusted debt increased slightly to about A$870 million-A$880 million compared with A$822 million last year due notably to increased drawings under the revolving credit facility (RCF). Key credit metrics for fiscal 2022 were thus significantly weaker than S&P's previous base case scenario. S&P Global Ratings adjusted leverage is estimated at about 12x-13x (compared with an expected 7.5x-8x in previous forecasts) and also higher than fiscal 2021 at 10x. EBITDA interest cover is expected at 1.5x-2.0x (compared with its previous base case of 2.0x-2.5x for fiscal 2022). For fiscal 2023, S&P forecasts a rebound in EBITDA with positive FOCF, but improvement in credit metrics will be limited. Under S&P's new base case projections, it assumes net revenue growth to be mostly driven by price increases and some volume rebound post-COVID-19 lockdowns, benefits from the premiumization strategy and market share gains in markets like the U.S. S&P Global Ratings-adjusted EBITDA is forecast to grow to about $A75 million-A$80 million from A$65 million-A$72 million in 2022 assuming negative effects from raw materials, supply-chain, energy, and labor costs are offset by low grape prices and successive price increases made by Accolade Wines, albeit with a certain time lag depending on the market. S&P said, "We forecast positive FOCF of A$25 million-A$35 million (from negative US$150 million-US$160 million in 2022) driven by a slight EBITDA increase and some working capital inflow as a result of inventory reduction following years of investments. We understand the company is currently holding more than enough inventory given volume sales trends and the winding down of excess inventory will proceed in fiscal 2023. "Due to the above, we now forecast the group's credit metrics to stabilize in 2023 but still be weak, with adjusted leverage of about 10x-11x and EBITDA interest coverage remaining below 2x. We believe that the level of debt in the capital structure is currently unsustainable because it was designed for a larger-scale business, a goal that the company has not been able to achieve in previous years due to internal and external operational challenges. "We see Accolade Wines as able to continue to fund its operations in the near term, but refinancing risks are increasing.Although the liquidity position has slightly deteriorated, we still believe the group should be able to fund its operations and repay RCF drawings over the next 12 months based on our forecast of positive FOCF in 2023. We also account for a number of realized or signed asset disposals in our liquidity sources. We calculate that the RCF springing covenant will continue to be tested with the RCF being drawn by more than 40%, but we do see the company being able to maintain adequate (greater than 15%) headroom in the next 12 months. "Over the next 12-24 months, we believe refinancing risks have increased due to the company's weak credit metrics, with the RCF maturing in May 2024. "The negative outlook reflects our view of downside risks to our base case scenario that Accolade Wines will be able to slightly deleverage through a rebound in EBITDA and generate positive FOCF in 2023. "We would lower the ratings in the next 12 months if we believed the group would be unable to adequately fund its day-to-day operations from internal cash flows should, for example, the expected working capital unwinding not proceed as expected. This would in turn weaken substantially the liquidity position and increase the risk of a financial covenant breach. We could also lower the ratings if we believed refinancing risks had significantly increased as a result of slower-than-expected debt deleveraging or an inability to produce positive FOCF in 2023. "We could revise the outlook back to stable if Accolade Wines were able to self-fund growth and generate sufficient positive FOCF to fund day-to-day operations and replenish its liquidity position. At the same time, the company would need to deleverage decisively from the current very high level of 13x adjusted leverage, which would allow it to be well positioned to address its upcoming refinancing risks." ESG credit indicators: E-2, S-2, G-3 S&P said, "Governance factors are a moderately negative consideration in our credit rating analysis of Amphora Intermediate II Ltd., as is the case for most rated entities owned by private-equity sponsors. We believe the company's highly leveraged financial risk profile points to corporate decision-making that prioritizes the interests of the controlling owners." This also reflects the generally finite holding periods and a focus on maximizing shareholder returns. Environmental and social factors are an overall neutral consideration. The company's channel mix provides some protection against COVID-19-related restrictions because it primarily distributes its products through the retail channel and has little exposure to on-premise consumption, which was severely affected by the pandemic. In addition, the company is taking steps to reduce its carbon footprint, has reached carbon neutrality, and has achieved zero waste to landfill at its U.K. factory. AVONSIDE GROUP: RCapital Buys Two Units Following Administration ---------------------------------------------------------------- Tiya Thomas-Alexander at Construction News reports that the insulation and solar power arm of the UK's largest roofing specialist, which entered administration last week, has been acquired by a private investor -- saving all 100 jobs in the division. Avonside Energy was one of the 39 divisions which fell into administration last week when the wider Avonside Group went under. Nearly 250 staff were at risk of being laid off from the Lancashire-based company, which had seen a turnover of GBP48 million in the year to December 31, 2020. The specialist arm Avonside Energy focuses on insulation and solar power installation services for housebuilders. But the division has now been acquired by private investor RCapital for an undisclosed sum. Begbies Traynor was appointed administrators over Avonside Group and revealed that the firm's profit margins had taken a hit in the pandemic, along with underperformance by some of its divisions. Negotiations over the company's assets and divisions continued since. Avonside Renewables, the division specialising in micro-generation technologies such as solar electricity and solar-thermal water heating systems, was also acquired in the RCapital deal. CENTRAL BUILDING: Ordered to Pay Compensation to Sacked Employees ----------------------------------------------------------------- Caroline Wilson at The Herald reports that a family-run building firm which dismissed 149 employees immediately after its collapse has been ordered to pay compensation by a tribunal judge. Central Building Contractors, which was founded nearly 50 years ago and was headquartered in Ibrox on Glasgow's south side, was placed into administration in April this year, The Herald recounts. It was forced out of business by cash flow difficulties, made worse by the current closure of much of the construction industry, The Herald discloses. A tribunal found that the firm breached employment regulations by dismissing staff within 90 days without consultation, The Herald states. There was no recognised trade union or elected representative and no steps were taken to elect any such representatives, The Herald notes. According to The Herald, while the administrators stated that "it was not possible for the company to trade in administration" no explanation was given for the failure to elect any representatives or consult in any way. Director James McAlpine said at the time of the firm's collapse that it would "work closely with the administrators to ensure every possible assistance is provided to all our employees during this exceptionally difficult time," The Herald recounts. The tribunal noted that no response was provided by the firm in the case, The Herald states. The joint administrators confirmed by email that 149 employees had been dismissed "immediately", The Herald relays, "No consultation took place with any elected representative and no steps were taken to do so," The Herald quotes Employment judge David Hoey as saying. "No reasons were given for such a failure. The explanation of being unable to trade during administration does not explain why the rules were not followed." DETRAFFORD ST GEORGES: Economic Challenges Prompt Administration ---------------------------------------------------------------- Dan Whelan at North West Place reports that DeTrafford St Georges Gardens Ltd., the vehicle behind the completed St George's Gardens development in Manchester, has collapsed due to "economic challenges", according to administrator BDO. The company is the second DeTrafford business to go into administration in recent weeks, North West Place notes. In August, Place North West revealed that the company behind Wavelength, DeTrafford's proposed 421-home development at Salford Quays, had also gone into administration, North West Place recounts. Kroll was appointed by lender Whitecraig Limited to find a buyer for the GBP99 million scheme, North West Place relates. Now, lender Maslow Capital has appointed BDO as administrator over DeTrafford St Georges Gardens Ltd., North West Place discloses. Maslow holds a fixed charge over DeTrafford St George's Gardens, the company behind the 138-apartment project, North West Place says, citing Companies House. Construction of the 11-storey block completed in late 2020 and 127 of the one- and two-bedroom apartments have been sold, North West Place states. BDO confirmed that it would be seeking buyers for the remaining 11 apartments in order to recover cash for Maslow, according to North West Place. "Due to the wider economic challenges, St Georges faced difficulties in realising the remaining unsold apartments. We will now be taking all necessary steps to maximise returns for the benefit of all creditors in accordance with our legal duties," North West Place quotes a spokesperson for the joint administrators as saying. HARPERS ENVIRONMENTAL: Enters Administration, 80 Jobs Affected -------------------------------------------------------------- Tom Keighley at BusinessLive reports that an environmental services firm operating across Yorkshire and the North East has gone into administration with the loss of 80 jobs. Harpers Environmental ran centres in Billingham, York and Sheffield, and administrators from RSM say they are working to find alternative providers for customers of its waste management, cleaning and emergency spill response services, BusinessLive relates. All work -- including by Harpers' sub contractors -- has ceased, BusinessLive notes. The latest accounts for the loss making firm show turnover fell considerably in the year to the end of March 2021, from GBP9.7 million to GBP6.9 million, BusinessLive discloses. According to BusinessLive, despite describing challenging trading conditions on the back of the pandemic, at the time, Harpers referred to an uplift in work since the financial year end and said it was well placed to capitalise on a stronger market going into 2022. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Europe is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Marites O. Claro, Rousel Elaine T. Fernandez, Joy A. Agravante, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman, Editors. Copyright 2022. All rights reserved. ISSN 1529-2754. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Europe subscription rate is US$775 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000. * * * End of Transmission * * *