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250509.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 Friday, May 9, 2025, Vol. 26, No. 93 Headlines C Z E C H R E P U B L I C ENERGO-PRO A.S.: S&P Puts 'B+' LT Issue Rating to Proposed Notes F R A N C E ACCORINVEST GROUP: Fitch Affirms 'B' Long-Term IDR, Outlook Stable G E R M A N Y CURRENTA GROUP: Fitch Puts First Time 'BB+' LT IDR, Outlook Stable TRAVIATA B.V.: S&P Withdraws 'B-' Ratings, Outlook Stable M O N A C O CARRE D'OR: Foreclosed Property Auction Scheduled for May 16 S P A I N BERING III: S&P Puts Prelim. 'B-' Rating to New EUR350MM Sec. Bond SANTANDER CONSUMO 8: Fitch Assigns 'B(EXP)sf' Rating to Cl. E Notes U N I T E D K I N G D O M 79TH GRP: Quantuma Advisory Named as Administrators 79TH LUXURY: Quantuma Advisory Named as Administrators BELMORE (UK): Path Business Appointed as Administrator BIG BOX: Leonard Curtis Named as Joint Administrators HENKINS LIMITED: Cowgills Limited Named as Joint Administrators HOPS HILL NO.4: Fitch Affirms 'BB+sf' Rating on Class E Notes IRIS FASHION: Armstrong Watson Named as Joint Administrators LASERAID UK: MHA Named as Administrators ROGERS CORY: Seneca IP Named as Administrator SEVENTY NINTH: Quantuma Advisory Named as Administrators STRATTON LAND: PKF Named as Joint Administrators T&L HOLDCO: S&P Affirms 'B' ICR and Negative Outlook X X X X X X X X [] BOOK REVIEW: PANIC ON WALL STREET - - - - - =========================== C Z E C H R E P U B L I C =========================== ENERGO-PRO A.S.: S&P Puts 'B+' LT Issue Rating to Proposed Notes ---------------------------------------------------------------- S&P Global Ratings assigned its 'B+' long-term issue rating to the proposed euro-denominated notes to be issued by Energo-Pro a.s. (EPas; B+/Stable/--), a Czech Republic-headquartered electricity producer and distribution network operator with activities mainly in Bulgaria, Georgia, Turkey, Spain, and Brazil. S&P said, "We understand that up to EUR250 million of the proceeds will be used to finance the Baixo Iguacu acquisition, with the remainder after fees and expenses is to be used to partially repay EPas's 8.5% notes due 2027. We expect Energo-Pro's reported debt to increase to EUR1.50 billion-EUR1.60 billion--including foreign exchange movements--from EUR1.17 billion at year-end 2024. At the same time, we expect cash interest to increase by EUR40 million-50 million annually due to the new bond as well as the integration of the existing debt at Baixo Iguacu. This should lead to to funds from operations (FFO) of about EUR150 million-EUR170 million over 2025-2026, before increasing to about EUR200 million. As a result, we now expect EPas' FFO to debt to decrease to 11% on average over 2025-2026, from the 21%-23% expected in 2024, before improving to above 12% from 2027. "The successful issuance of the proposed euro-denominated bond will also support our view of Energo-Pro's liquidity. The company's aggressive acquisition strategy has tightened our view of its liquidity since it consistently finances these acquisitions with debt. Although we expect EPas to focus on integrating its most recently acquired assets over 2025-2027, we will continue to monitor its operations to ensure its liquidity ratio remains above 1.2x at all times." =========== F R A N C E =========== ACCORINVEST GROUP: Fitch Affirms 'B' Long-Term IDR, Outlook Stable ------------------------------------------------------------------ Fitch Ratings has assigned AccorInvest Group S.A.'s planned senior secured term loans and bonds an expected 'BB(EXP)' rating with Recovery Rating of 'RR1'. Fitch has affirmed the company's Long-Term Issuer Default Rating (IDR) at 'B' and the existing senior secured debt rating at 'BB'/RR1, respectively. The Outlook on the IDR is Stable. The new debt issuance will be used to fully refinance AccorInvest's debt incurred in its 2021 restructuring, enhancing the company's financial and operational flexibility. The financing package will include an upsized EUR400 million revolving credit facility (RCF) to secure a stronger liquidity buffer as existing RCF (of EUR250 million) is fully drawn. Nevertheless, Fitch sees sufficient headroom under the 'B' IDR, with deleveraging anticipated over 2026-2028. The rating continues to be supported by the strength of AccorInvest's business profile and neutral-to-positive free cash flow (FCF) generation from 2026. Key Rating Drivers Expected Re-leveraging: Fitch expects AccorInvest's EBITDAR net leverage to increase to 6.1x in 2025 (2024: 5.8x) as business scale reduction due to disposals will more than offset RevPAR growth and result in 15% EBITDA contraction in absolute terms under Fitch Case. This re-leveraging will partially absorb the rating headroom but metrics will remain aligned with its 'B' rating. AccorInvest has reduced its debt by about EUR900 million since end-2023, using available cash and proceeds from asset disposals and preference shares issuance (as a form of shareholder support, which Fitch treats as non-debt). Asset Disposals Part of Strategy: AccorInvest has been rationalising its hotel portfolio since 2021 through divesting assets outside its core region or assets that do not meet its profitability and return criteria. The disposal programme accelerated in 2024, yielding a receipt of EUR679 million net proceeds, after having slowed in 2023 due to an unfavourable market environment. However, Fitch still sees execution risks for the remaining divestments planned for 2025-2026, which aim to generate more than EUR800 million in proceeds. Realisation of the disposal plan would reduce execution risks and leverage. Stable Underlying Performance: Fitch expects AccorInvest's like-for-like revenue per available room growth to moderate to 1%-1.5% in 2025 from 3.6% in 2024 as demand further stabilises. This might create some pressure on underlying EBITDA margins as cost inflation may be higher than revenue growth, if not offset by cost savings. Structural Profitability Improvements: In 2024, the company reported EBITDA in line with 2023, despite substantial asset divestments, and improved EBITDA margin by 100bp. Fitch expects the EBITDA margin to increase cumulatively by about 100bp by end-2027, supported by the disposal plan as AccorInvest focuses on assets with lower profitability. Positive FCF: AccorInvest generated positive FCF of EUR84 million in 2024, which together with asset disposals facilitated the deleveraging. Fitch expects FCF to turn slightly negative as EBITDA is reduced by asset disposals, but Fitch believes positive FCF from 2026 is possible due to strong costs monitoring and profitability improvement. In addition, lower indebtedness will lead to reduced cash debt service cost. AccorInvest has flexibility to reduce capex, which may yield minimum savings of at least EUR100 million a year. Strong Business Profile: AccorInvest's business profile is strong for the rating. It owns and operates one of the largest hotel portfolios in Europe with about 92,000 rooms at end-2024 and is well diversified within the region, with no major reliance on one single country. It also has market segment diversification, with a presence in the economy and mid-scale segments. It owns 51% of its hotel portfolio, which provides greater financial flexibility than peers that lease their properties. However, the company lacks its own brands, as it operates under the brands of Accor SA (BBB-/Positive), which is also responsible for providing hotel management expertise and the reservation system. Peer Analysis AccorInvest differs from other Fitch-rated hotel operators as it does not own brands. It compares best with other asset-heavy hotel operators, with Whitbread PLC (BBB/Stable) its closest peer. Both companies operate a similar number of rooms and have comparable business scale by EBITDAR. AccorInvest is more diversified than Whitbread due to its footprint across 24 countries, while Whitbread operates predominantly in the UK and is expanding into Germany. AccorInvest also has better price segment diversification across economy and mid-scale, while Whitbread focuses on the economy segment. However, the large rating differential is explained by AccorInvest's materially weaker financial profile and more volatile operating performance. Fitch also sees greater execution risks in AccorInvest's strategy, which involves asset disposals. AccorInvest's business profile is stronger than those of other asset-heavy hotel operators (those who own and lease hotels), such as Sani/Ikos Group Newco S.C.A. (B-/Stable), FIVE Holdings (BVI) Limited (B+/Stable) and Motel One GmbH (B+/Negative). FIVE and Motel One are rated higher than AccorInvest due to expected stronger credit metrics and liquidity. AccorInvest is rated higher than Sani Ikos Group as Fitch projects it to have lower leverage and better FCF generation. Key Assumptions Fitch's Key Assumptions Within Its Rating Case for the Issuer - Revenue before disposals to increase 1%-1.5% a year - Overall revenue to declining 18% in 2025 and 3% in 2026 due to asset disposals - EBITDA margin to increase by 100bp over 2025-2028 due to the disposal of less profitable assets - Capex at EUR230 million-EUR255 million a year over 2025-2028 - Disposal proceeds of EUR300 million in 2025 - No change to the terms of hotel management agreement with Accor following its potential sale of stake in AccorInvest - No dividends Recovery Analysis Fitch believes AccorInvest would be liquidated in a bankruptcy rather than restructured as a going concern, given its large tangible asset base, consisting of its hotels. The liquidation estimate reflects Fitch's view that the company's hotel portfolio (valued by external third parties as of December 2024) could be realised in a liquidation and distributed to relevant creditors in a default. Fitch has applied a 50% advance rate to the EUR7.8 billion AccorInvest gross asset value after deducting EUR374 million for assets secured by mortgages or under finance lease contracts. Fitch deducts 10% for administrative claims from the resulting liquidation value. In its analysis, Fitch assumed PGE (French state guaranteed loan prêts garantis par l'État provided during the pandemic) ranks ahead of other senior secured debt as the latter is structurally subordinated. This debt will be repaid as part of the proposed transaction, so that there will be no prior ranking debt thereafter. Term loans A and B, the RCF and EUR750 million and EUR650 million bonds rank pari passu among themselves. Its analysis results in a waterfall-generated recovery computation for the senior secured debt in the 'RR1' band, indicating a 'BB' rating, three notches above the company's IDR of 'B'. Fitch expects the recovery rate for existing senior secured notes to stay in the 'RR1' band after the contemplated refinancing. The transaction involves a new EUR400 million RCF, which Fitch assumes to be fully drawn on default. These considerations are also reflected in the expected 'BB (EXP)/'RR1' rating for the planned senior secured notes and term loans, totalling EUR1,800 million and ranking pari passu with existing notes and among each other. RATING SENSITIVITIES Developments that May, Individually or Collectively, Lead to Negative Rating Action - EBITDAR gross leverage above 7.0x (net 6.5x) on a sustained basis - EBITDAR fixed-charge coverage below 1.5x on a sustained basis - Negative FCF, reducing available liquidity Developments that May, Individually or Collectively, Lead to Positive Rating Action - Successful realisation of the disposal plan, leading to a build-up of liquidity and leading to profitability improvements - EBITDAR gross leverage below 6.5x (net 6.0x) on a sustained basis - EBITDAR fixed-charge coverage above 1.7x on a sustained basis - Positive FCF generation Liquidity and Debt Structure At end-2024, the company's liquidity was limited, with Fitch-adjusted cash of EUR236 million (after restricting EUR200 million of cash for operating purposes), a fully drawn EUR250 million RCF and around EUR220 million of short-term debt. However, pro forma for debt refinancing, Fitch expects AccorInvest's liquidity to strengthen following the new EUR400 million RCF, expected to be drawn at EUR100 million after the transaction closure and repaid later during the year from the asset disposal proceeds, and the extension of its debt maturity profile, with no scheduled debt repayments over 2025-2027. Receipt of disposal proceeds in 2025 and projected positive FCF from 2026 will also help replenish liquidity over the medium term. Issuer Profile AccorInvest is a France-based real estate hotel owner and operator. Summary of Financial Adjustments Fitch computes AccorInvest's lease liability by multiplying Fitch-defined lease costs by 8x, reflecting the long-term nature of rent contracts in the hotel sector. Fitch does not capitalise variable lease expenses linked to profits and apply 25% haircut to variable rents linked to revenues when capitalising them. This reflects the greater flexibility that they provide in comparison with fixed leases and leads to a blended lease multiple of 7.1x. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery Prior ----------- ------ -------- ----- AccorInvest Group S.A. LT IDR B Affirmed B senior secured LT BB(EXP) Expected Rating RR1 senior secured LT BB Affirmed RR1 BB ============= G E R M A N Y ============= CURRENTA GROUP: Fitch Puts First Time 'BB+' LT IDR, Outlook Stable ------------------------------------------------------------------ Fitch Ratings has assigned Currenta Group Holdings S.a.r.l., the largest independent industrial park operator in Germany, a first-time Long-Term Issuer Default Rating (IDR) of 'BB+' with a Stable Outlook, and an expected rating of 'BBB-(EXP)' to its proposed EUR1 billion seven-year senior secured notes. Currenta benefits from good revenue visibility through medium-to-long term contracts with customers that include price and volume protection clauses due to its largely local exclusive position and the critical nature of the services provided. However, the rating is limited by dependence on Germany's cyclical chemical industry, a concentrated customer base and long-term growth limitations due to land availability at sites. The Stable Outlook reflects expectations of flat pension-adjusted EBITDA net leverage of about 3.5x for 2025-2029, which is consistent with the rating. Fitch views the execution risk of the company's business plan as manageable, with EBITDA growth mainly driven by efficiency improvements and a handful of growth projects with predictable returns. The assignment of a final rating for the notes is contingent on the receipt of final documents conforming to information already received. Key Rating Drivers Critical Partner for Customers: Currenta offers critical infrastructural services, which generated about 70% of total EBITDA in 2024, as well as other mandatory and technical services (30%), to over 70 clients across its three sites (parks). It holds a locally exclusive position, with competition affecting only 15% of its EBITDA. In 2024, it generated a Fitch-adjusted EBITDA of EUR262 million and about 20% EBITDA margin, excluding pass-through items. Long-term growth and profitability are constrained by the parks' physical limits and depend on the long-term strategy and financial conditions of tenant companies, which are rating constraints. Key Infrastructure Owner: Currenta's well-invested infrastructure assets, valued at EUR7.4 billion in replacement cost, and its largely exclusive position support longstanding partnerships with customers, providing strong revenue visibility. This distinguishes Currenta from asset-light B2B services peers. Key assets include heat and steam generation plants, last-mile distribution networks, water and waste management facilities, parks' railways and ports, while industrial plots are owned by customers. Infrastructure-related revenue forms a significant portion of total revenue, with inherently minimal insourcing risk for customers. Solid Revenue Visibility: Long-term contracts for the use of critical infrastructures and mandatory services (e.g. fire protection) feature robust cost pass-through mechanisms and price escalation clauses, assuring predictable revenue and protecting Currenta from inflation and commodity price risks. A consortium agreement running until 2030 allows market price risk pass-through for steam and heat, while volume risk is largely mitigated for waste and water services through take-or-pay clauses. Sector Concentration: Currenta is indirectly exposed to the German chemical, pharmaceutical, and industrial sectors representing the core of the three parks, with blue-chip companies like Covestro, Lanxess, and Bayer AG (BBB/Stable) contributing about 75% of the company's revenues. The concentration risk is, however, partly mitigated by the essential nature of the services provided, the good creditworthiness of the key customers, and large investments totaling EUR6 billion over five years that customers have deployed in the parks. Exposure to Long-Term Risks: Fitch believes that the long-term risk of site closures and industry relocation out of Germany, which could affect demand and park infrastructure utilisation, is largely mitigated by the strong cost competitive position of key customers' facilities on the sites. The integrated network operations (Verbund) promote synergies among companies, while the strategic location of the parks in central Germany and along the Rhine River supports supply chain efficiency and access to a large end-consumer base. However, any decline in production on the sites could pressure revenue and margins for the non-contracted or volume-exposed services. Customer Loyalty: Contract renewal rates are historically close to 100%, supported by high switching costs and significant investments already made by customers on the sites. Mandatory early notice clauses and agreements to distribute fixed costs of the parks' infrastructure among remaining customers provide short-term stability in the event of limited customer exits. Third-party competition is negligible and limited to asset-light services, such as training, which supports the 'BB+' rating. Stable Leverage, but No Headroom: Fitch forecasts stable pension-adjusted EBITDA net leverage at about 3.5x on average for 2025-2029. This takes into account moderate capex of about EUR180 million on average per year (55% is maintenance capex) and dividends sized to keep reported leverage close to the maximum 3.25x covenant included in the proposed documentation. This results in mildly negative free cash flow (FCF) and leaves Currenta with no headroom within the sensitivities for the rating. Lower-than-expected EBITDA could be at least partially covered by flexible dividends, given the protection provided by the proposed documentation. Manageable Execution Risk Strategy: Fitch sees manageable execution risk in the business plan through 2029, which targets EBITDA margin improvement mostly through cost-saving initiatives, in line with the business model. Full recovery of the circularity business after a fire incident in 2021, customer-agreed growth projects to align with regulatory compliance (brigade security) and customers' decarbonisation goals (steam production coal exit) could provide revenue upside. High, Improving Profitability: Currenta's infrastructural services result in structurally higher profitability compared with asset-light peers, offset by the required capex. Its transformation programme (Fund2Run) including ongoing employee voluntary exits, started in 2023 and had a run rate achievement of 75% at end-2024. Potential Exit of Sole Shareholder: Currenta is Macquarie's largest European asset, which was fully acquired in two phases in 2019 and 2020. Macquarie's typical investment horizon suggests a potential exit during the bond's lifetime to 2032. Proposed bond documentation includes a onetime 'specified change-of-control event', and notes would only be portable if leverage remains below 3.25x, forcing the buyer to maintain a capital structure consistent with the thresholds in the proposed documentation. Peer Analysis Fitch compares Currenta with business services companies such as SPIE SA (BB+/Positive) and Radar Topco SARL (Swissport; BB-/Stable). SPIE is a European leader in the asset-light technical services, with larger scale, geographical diversification and a wider and less concentrated customer base than Currenta. However, the latter provides a broader range of infrastructure-like services with a longer-term contractual structure compared with the short-term contracts of SPIE. Swissport, which provides cargo and B2B aviation handling services, has a global presence and a more diversified customer base than Currenta, although it operates in the volatile aviation sector. Its three-to-five-year agreements limit inflation risk, but the company remains exposed to volume risk from flights operations. In contrast, Currenta's longer contracts partially mitigate volume risk with take-or-pay clauses. Both companies have similar EBITDA net leverage (pre-pension adjustment), however its sensitivities for Swissport are based on gross leverage. Fitch compares Currenta's circularity business with Seche Environnement S.A. (BB/Stable), a medium-sized waste treatment operator specialising in hazardous waste. Both have similar scale and operations largely in one country (France for Seche). Seche's services and contractual terms are similar to those of Currenta under its circularity segment. Both companies have similar margins and debt capacity. Fitch also compares Currenta with Holding d'Infrastructures des Metiers de l'Environnement (Saur; BB+/Stable), the third-largest water and wastewater operator in France. Saur's services are backed by medium-to-long term contractual agreements with municipalities, but with less effective price and cost inflation protection clauses. Its leverage is higher than Currenta's, but Saur's business of water treatment entails lower risk. Key Assumptions - Weak chemical production index in Germany, decreasing energy prices and easing inflation in Germany over 2025-2028 - Revenue CAGR of 2.6% from 2024 to 2028, including limited incremental revenue associated with newly signed contracts and growth capex - Operating company EBITDA CAGR of 5.5% from 2024 to 2028, driven by cost efficiencies (Fund2Run), full recovery of waste activity (post-Burrig fire incident) newly signed contracts and growth capex - Operating company EBITDA margin (net of pass-through items) to increase by 2028 - About EUR800 million total capex for 2025-2028 (averaging EUR200 million a year), of which around 45% is growth capex, including uncommitted special projects (ie. related to security brigade and decarbonisation goals) - Broadly neutral working-capital trend for 2025-2028 - About EUR340 million of dividend distributions to shareholder over 2025-2028, including the EUR186 million at refinancing closing in 2025 - Refinancing of the outstanding EUR814 million term loan B in 2025 with EUR1 billion seven-year senior secured fixed-rate notes and a EUR185 million dual usage facility (revolving credit facility / capex). - Factoring utilisation of EUR50 million to 2028 - Shareholder loan of EUR1 billion at end-2024 treated as equity, as it meets the requirements of its criteria RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Pension-adjusted EBITDA net leverage consistently above 3.5x - EBITDA margin (excluding pass-through items) below 20% - Looser-than-expected financial protection from covenanted documentation or a more aggressive dividend policy - A worsening outlook for the chemical industry in Germany or material weakening of the creditworthiness of Currenta's key customers - Operational underperformance affecting growth and profitability Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - Rating upside is constrained by the company's structural concentration in the cyclical chemical industry in Germany and in the customer base, but the following could lead to a positive rating action: - Sustainably low pension-adjusted EBITDA net leverage, coupled with a public financial policy supportive of investment grade rating and an improvement of the outlook of the chemical industry in Germany. Liquidity and Debt Structure As of end-2024, Currenta's available liquidity sources were composed of EUR143 million readily available cash balance and an EUR35 million undrawn RCF. Post refinancing, the outstanding debt of EUR864 million will be repaid with the proceeds of the proposed EUR1 billion senior secured notes maturing in 2032, together with cash on its balance sheet. The RCF will be extended to EUR185 million with a maturity in 2031. For 2025, Fitch forecasts negative FCF of EUR143 million, after the payment of an extraordinary dividend of EUR186 million at the refinancing closing, moderate capex and well-managed working capital. The proposed EUR1 billion secured notes benefit from a standard security package related to issuer and guarantor shares, intercompany loans receivables and bank accounts, which leads to a one-notch uplift compared with the IDR. After the bond issuance, refinancing risk will be manageable, with long-dated debt maturities and expected stable pension-adjusted EBITDA net leverage at 3.5x until 2028. Fitch anticipates the company to use factoring of EUR50 million on average over the period. Issuer Profile Currenta is the owner and operator of the largest independent German chemical, pharma and industrial parks by net sales. The company provides critical infrastructure and services in its three sites of Leverkusen, Dormagen and Krefeld-Uerdingen in Germany. The company hosts more than 70 clients with a total of 300 production plants. Summary of Financial Adjustments Unfunded pension provisions totaled EUR808 million at end-2024, a sizable liability that is 3x Currenta's EBITDA. Fitch adds around EUR50 million annual additional cash outflows, which would theoretically close the pension gap over 15 years. The adjustment increases pension-adjusted net leverage by about 0.5x by end-2029. Date of Relevant Committee 16 April 2025 MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating ----------- ------ Currenta Group Holdings S.a.r.l. LT IDR BB+ New Rating senior secured LT BBB-(EXP) Expected Rating TRAVIATA B.V.: S&P Withdraws 'B-' Ratings, Outlook Stable --------------------------------------------------------- S&P Global Ratings has withdrawn its 'B-' ratings on Traviata B.V. and its debt at the issuer's request. At the time of the withdrawal, the outlook was stable. This follows the completed separation of Axel Springer SE--Traviata's sole asset--on April 29, 2025, into distinct media and online classified businesses, and the full refinancing of Traviata's senior secured debt with a new payment-in-kind instrument. The classifieds business, which includes The Stepstone Group MidCo 1 GmbH, a job classifieds platform operator (B (prelim)/Stable/--); and Aviv Group GmbH, a real estate online classifieds operator (B- (prelim)/Positive/--), is now primarily owned by KKR & Co. Inc. and its affiliates, and the Canada Pension Plan Investment Board. Following the implementation of Axel Springer's new corporate structure, its media assets are owned by Dr. Friede Springer, CEO Dr. Mathias Dopfner, Axel Sven Springer, a grandson of the company's founder, and the Friede Springer Foundation. =========== M O N A C O =========== CARRE D'OR: Foreclosed Property Auction Scheduled for May 16 ------------------------------------------------------------ Maire Thomas Giaccardi, Attorney at Law at 99 Avocats Associes Law Firm, announced that a single lot public auction of a foreclosed property will be held on May 16, 2025 at 2:30 p.m. at the Court of First Instance, Palais de Justice, Rue Colonel Bellando de Castro, Monaco. The properties being put up for sale are located in the 26 Carre Or apartment block at 26 and 28 avenue de la Costa and 1 avenue Princesse Alice in Monaco. They include: * a quadruplex penthouse apartment, with a total surface area of approximately 1,648 square meters on the 16th, 17th, 18th and 19th floors, formed by the joining of Units 1 and 2 with a private elevator serving the four levels; * a cellar on the intermediate level Unit 35; and * four car park spaces in the 3rd basement Units 39, 40, 45 and 46. The sale is sought upon the application of Union Bancaire Privee, Ubp SA, whose registered office is located at 96- 98 rue du Rhene in Geneva, Switzerland, through its duly authorized officers Nawal Cheggour (Managing Director, Chief Operating Officer) and Jarome Croue (Managing Director, Head of Legal) who are based at the company's registered office against the non-trading company called S.C.I Carre d'Or Quadruplex, whose registered office is located at Rose de France A, 17 boulevard de Suisse in Monaco, represented by its manager. The properties are put up for sale at public auction in a single lot, to be sold to the highest and last bidder with the starting price of EUR49,000,000 in addition to the fees and conditions set out in the specifications book, in particular the costs of the proceedings, the amount of which will be subject to prior taxation and such amount will be made known to the public before the start of the auction. Participation in the auction will only be authorized after a deposit of one-quarter of the starting bid price has been deposited with the General Court Registry, no later than the day before the auction hearing, by means of a bank cheque drawn on a bank based in the Principality of Monaco, i.e. the sum of EUR12,250,000. Bids will be received in accordance with Articles 612 to 620 of the Monegasque Civil Procedure Code, in addition to the charges, clauses and conditions provided for in the Specifications. The dates and arrangements for the property viewings, which will be organized prior to the sale, will be provided upon request. In accordance with Article 603 of the Monegasque Civil Procedure Code, anyone for whom registration of a legal mortgage may be required, must request such registration before the registration of the auction. For further information, please contact: Maitre Thomas GIACCARDI, Attorney at Law 16 rue du Gabian 98000 Monaco Phone: 00 377 97 70 40 70 Or consult the Specifications at the Court Registry Office - Palais de Justice rue Colonel Bellando deCastro, Monaco. ========= S P A I N ========= BERING III: S&P Puts Prelim. 'B-' Rating to New EUR350MM Sec. Bond ------------------------------------------------------------------ S&P Global Ratings assigned its preliminary 'B-' issue rating to the proposed issuance, with a '3' recovery rating, and affirmed its 'B-' long-term issuer credit rating on frozen fish producer Bering III S.a.r.l. (Iberconsa) and its 'B-' rating on the existing EUR283 million term loan B, until its repayment. The stable outlook reflects our view that Iberconsa will remain self-funding over the next 12 months and that it will keep reducing its adjusted leverage toward 7.0x (6.0x excluding the vendor loan). Frozen fish producer Bering III S.a.r.l. (Iberconsa) plans to issue a EUR350 million, five-year senior secured bond to refinance its EUR283 million term loan B (TLB) due 2027, repay the EUR33 million balance under its revolving credit facility (RCF), reduce its drawn working capital financing lines balance by EUR5 million, and strengthen the liquidity profile. The transaction is broadly leverage neutral and will provide EUR18 million of additional cash balance to the company. S&P said, "In our view, the company's proposed transaction will be broadly credit neutral and support Iberconsa's liquidity position. The company intends to issue a five-year, EUR350 million senior secured bond to refinance its EUR283 million TLB due 2027, repay the EUR33 million balance under its RCF, reduce its drawn working capital financing lines balance by EUR5 million, and cover the estimated EUR11 million transaction costs. Pro forma the issuance, we expect S&P Global Ratings-adjusted debt to EBITDA to be relatively unchanged, at about 7.5x (6.5x excluding the approximately EUR64 million vendor loan), from 7.4x at end-2024 (6.4x excluding the vendor loan). Moreover, the transaction will provide Iberconsa with a EUR40 million, 4.75-year RCF, which we expect to remain undrawn at closing; and EUR18 million of cash overfunding, which, combined with the extension of the average maturity profile, should support its liquidity position and capital structure. "We anticipate credit metrics will slightly improve in fiscal 2025 on stable top-line growth, receding input costs, and efficiency gains, although exchange rate volatility remains a key risk. We expect S&P Global Ratings-adjusted debt to EBITDA will continue to improve in 2025 toward 7.0x (6.0x excluding the vendor loan) from about 7.4x in 2024 (6.4x), on moderate revenue growth and profitability improvement. For fiscal 2025, we expect stable sales growth of 3%-5%, underpinned by the company's continued investments in fleet and processing capabilities, further repricing that is supported by its core markets' supply and demand dynamics, and improvements in the product mix toward higher value cuts and formats, especially for hake. Moreover, we expect Iberconsa's EBITDA margin to continue benefiting from stabilizing input costs, especially energy; and management's ongoing operational efficiency plan, focused on increasing productivity of its processing facilities, streamlining procurement and trade routes, and optimizing overhead costs. This should support modest EBITDA growth in 2025 to about EUR75 million from EUR69.5 million in 2024. However, profitability depends on the fluctuation of the Argentinian peso, which represent about 25% of Iberconsa's total cost base. Following the recent agreement between the IMF and Argentina, and subsequent peso devaluation, we expect a gradual alignment of the official exchange rate with the currency's market value, which should reduce the overrepresentation of Iberconsa's peso-denominated costs and support its profitability. Therefore, a progressive liberalization of Argentina's foreign exchange market represents a significant upside to our forecasts over the next 12-24 months." Iberconsa's deleveraging trend continued in 2024, driven by resilient sales and profitability improvements. In 2024, the company reported revenue growth of 4.3% on a strong squid season, since supply-demand dynamics remain favorable; and a continuous hake repricing and mix improvement, which offset the softer shrimp performance. Iberconsa's profitability continued to benefit from the adjusted product mix and streamlined operations following management's ongoing efficiency program, supporting further EBITDA margin expansion. Moreover, the government's material peso devaluation in December 2023 helped diluting the euro value of the company's operational costs at the beginning of 2024, although the existing capital controls reverted the effect over the year. In 2024, S&P Global Ratings-adjusted EBITDA increased to about EUR70 million (from EUR51 million in 2023), although it remained below our previous forecast of EUR75 million-EUR85 million for the year. This improvement supported the reduction in S&P Global Ratings-adjusted debt to EBITDA toward 7.4x (6.4x excluding the vendor loan), from 9.6x (8.5x) in 2023. Following the proposed transaction, Iberconsa will have about EUR58 million in cash on its balance sheet and a EUR40 million undrawn RCF. This should adequately cover its liquidity needs for 2025. S&P said, "We estimate it will need EUR20 million-EUR25 million for maintenance and growth capital expenditure (capex) and have peak-to-trough working capital of about EUR25 million. Moreover, after the transaction closes, the company will not face any major debt maturities until 2030, when the senior secured bond is due. We think the company's S&P Global Ratings-adjusted free operating cash flow (FOCF) will remain limited in 2025, at up to EUR10 million, due to the high interest burden. The proposed RCF will be subject to a springing covenant that requires a maximum net leverage ratio of 5.25x (3.78x as of year-end 2024), tested only if RCF drawings net of cash on the balance sheet exceed 50%. In our view, should the covenant be tested over the next 12 months, we expect the company will have adequate headroom." S&P said, "The final ratings will depend on our satisfactory review of all final documentation and terms of the transaction. "The preliminary ratings should therefore not be construed as evidence of final ratings. If we do not receive final documentation within a reasonable time, or if the final documentation and final terms of the transaction depart from the materials and terms reviewed, we reserve the right to withdraw or revise the ratings. Potential changes include, but are not limited to, use of proceeds; maturity, size, and conditions of the facilities; financial and other covenants; security; and ranking. The preliminary rating is also conditional to our assumption that, upon issuance of the senior secured bond, the vendor loan's maturity is extended beyond that of the senior debt. "The stable outlook indicates our expectation that operating performance will gradually improve, on normalizing input costs, improved efficiency, and improving economic conditions in Argentina, allowing the group to remain self-funding while keeping sufficient covenant headroom. This should allow the company to generate an S&P Global Ratings-adjusted EBITDA of about EUR75 million in 2025, neutral-to-positive FOCF, leverage declining toward 7.0x (6.0x excluding the vendor loan), and funds from operations (FFO) cash interest of 1.5x-2.0x." S&P could lower the rating on Iberconsa if the company underperforms its base-case scenario and becomes unable to self-fund its operations over the coming 12 months. In particular, S&P could lower the rating if: -- The company fails to reduce leverage from the current high levels, with no prospect of improvement; -- It suffers from significantly negative FOCF, causing a weakening of its liquidity position or pressure under the springing covenant; or -- Iberconsa fails to refinance its capital structure a timely manner, reducing its weighted-average maturity well below two years. An upgrade would depend on Iberconsa reducing adjusted leverage comfortably below 6.0x (including the vendor loan), improving FFO cash interest coverage to above 2.0x, and maintaining positive FOCF for a sustained period, supported by disciplined working capital and capex. This could occur if profitability improves more than S&P expects following a seamless execution of the company's efficiency plan, or after a rapid easing of foreign exchange pressures. SANTANDER CONSUMO 8: Fitch Assigns 'B(EXP)sf' Rating to Cl. E Notes ------------------------------------------------------------------- Fitch Ratings has assigned Santander Consumo 8, FT expected ratings. The assignment of final ratings is contingent on the receipt of final documents conforming to information already received. Entity/Debt Rating ----------- ------ Santander Consumo 8, FT Class A LT AA(EXP)sf Expected Rating Class B LT A(EXP)sf Expected Rating Class C LT BBB+(EXP)sf Expected Rating Class D LT BB+(EXP)sf Expected Rating Class E LT B(EXP)sf Expected Rating Class F LT NR(EXP)sf Expected Rating Transaction Summary Santander Consumo 8, FT is a securitisation of a EUR1,500 million revolving portfolio of fully amortising general-purpose consumer loans originated by Banco Santander S.A. (Santander, A/Stable/F1) for Spanish residents. Around 86% of the portfolio balance is linked to pre-approved loans underwritten for existing Santander customers. KEY RATING DRIVERS Asset Assumptions Reflect Pool Profile: Fitch has set base-case lifetime default and recovery rates of 4.25% and 25.0% for the portfolio, reflecting the historical data provided by Santander, Spain's economic outlook, pool features, and the originator's underwriting and servicing strategies. For the 'AA' rating case, the lifetime default and recovery rates are 17% and 15%, respectively. Short Revolving Period: The transaction has an 11-month revolving period, during which new receivables can be purchased by the SPV. Fitch considers any credit risk stemming from the revolving period as sufficiently captured by the default multiples (increased to 5.0x from 4.75x in Santander Consumo 7, which closed in late 2024 and securitised a static portfolio). Fitch expects around 25% of the pool balance to be replenished during the revolving period, assuming an annualised prepayment rate of 10%, which Fitch set on the basis of comparable Spanish ABS. Fitch has not assumed a stressed composition of the portfolio towards the limits permitted by the transaction covenants (such as the term to maturity limit) considering the short duration of the revolving period, stressing only the weighted average interest rate limit of the pool under its cash flow analysis. Pro Rata Amortisation: The class A to E notes will be repaid pro rata once the revolving period ends, unless a sequential amortisation event occurs. These are primarily linked to performance triggers such as the principal deficiency ledger and cumulative defaults exceeding certain thresholds. Fitch views these triggers as robust enough to prevent the pro rata mechanism from continuing on early signs of performance deterioration. Fitch believes the tail risk is mitigated by the mandatory switch to sequential amortisation (the pool factor trigger). Interest Rate Hedge: An interest rate swap will hedge the risk arising from mismatch between the portfolio, which pays a fixed interest rate for life, and the floating-rate notes. The swap notional amount is the outstanding balance of the non-defaulted receivables. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Long-term asset performance deterioration such as increased delinquencies or reduced portfolio yield, which could be driven by changes in portfolio characteristics, macroeconomic conditions, business practices or the legislative landscape, could lead to downgrades. For the class E notes, a combination of reduced excess spread and the late receipt of recovery cash flows, particularly at the tail of the life of the transaction, could result in downgrades. This considers the thin layer of credit enhancement protection from subordination available to the class E notes, which is only provided by the reserve fund. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Increasing credit enhancement ratios, as the transaction deleverages to fully compensate for the credit losses and cash flow stresses commensurate with higher rating scenarios, may lead to upgrades. The maximum achievable rating is 'AA+sf' due to the remedial actions envisaged by the transaction documents for transaction account bank. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Santander Consumo 8, FT Fitch reviewed the results of a third-party assessment conducted on the asset portfolio information, and concluded that there were no findings that affected the rating analysis. Fitch conducted a review of a small targeted sample of the originator's origination files and found the information contained in the reviewed files to be adequately consistent with the originator's policies and practices and the other information provided to the agency about the asset portfolio. 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. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. =========================== U N I T E D K I N G D O M =========================== 79TH GRP: Quantuma Advisory Named as Administrators --------------------------------------------------- The 79th GRP Limited was placed into administration proceedings in the Business and Property Courts in Manchester Court Number: CR-2025-000590, and Jeremy Woodside and Tracey Pye of Quantuma Advisory Limited, were appointed as administrators on April 24, 2025. 79th GRP is a holding company managing a large group of unregulated businesses operating across real estate, aviation, natural resources and wealth management. Its registered office is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ and it is in the process of being changed to C/o Quantuma Advisory Limited, The Lexicon, 10-12 Mount Street, Manchester, M2 5NT. Its principal trading address is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ. The administrators can be reached at: Jeremy Woodside Tracey Pye Quantuma Advisory Limited The Lexicon, 10-12 Mount Street Manchester, M2 5NT For further details, please contact: Alex Holliday Tel No: 01616 949 144 Email: alex.holliday@quantuma.com 79TH LUXURY: Quantuma Advisory Named as Administrators ------------------------------------------------------ 79th Luxury Living Limited was placed into administration proceedings in the Business and Property Courts in Manchester Court Number: CR-2025-000614, and Jeremy Woodside and Tracey Pye of Quantuma Advisory Limited, were appointed as administrators on April 24, 2025. 79th Luxury specialized in the buying and selling of own real estate. Its registered office is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ and it is in the process of being changed to C/o Quantuma Advisory Limited, The Lexicon, 10-12 Mount Street, Manchester, M2 5NT. Its principal trading address is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ. The administrators can be reached at: Jeremy Woodside Tracey Pye Quantuma Advisory Limited The Lexicon, 10-12 Mount Street Manchester, M2 5NT For further details, please contact: Alex Holliday Tel No: 01616 949 144 Email: alex.holliday@quantuma.com BELMORE (UK): Path Business Appointed as Administrator ------------------------------------------------------ Belmore (UK) Limited, trading as Richardsons of Norwich, was placed into administration proceedings in the High Court of Justice Business & Property Courts in Manchester Insolvency and Companies List (CHD), Court Number: CR2025MAN000505, and Gareth Howarth of Path Business Recovery Limited was appointed as administrator on April 17, 2025. Belmore (UK) Limited a supplier of tools and materials for the drywall and plastering trade, with over 40 years of experience in the industry. Its registered office is at Unit 5 Hornet Court, Norwich, NR6 6HJ. Its principal trading address is at 8 Delta Close, Norwich, NR6 6BQ. The administrator can be reached at: Gareth Howarth Path Business Recovery Limited 2nd Floor, 9 Portland Street Manchester, M1 3BE Tel No: 0161 413 0999 For further information, contact: Daniel McNamee Path Business Recovery Limited Tel No: 0161 413 0999 Email: daniel.mcnamee@pathbr.co.uk. 2nd Floor, 9 Portland Street Manchester, M1 3BE BIG BOX: Leonard Curtis Named as Joint Administrators ----------------------------------------------------- Big Box Intralogistics Ltd was placed into administration proceedings in the High Court of Justice Business and Property Courts in Leeds, Insolvency & Companies List (ChD) Court Number: CR-2025-LDS-000413, and Phil Deyes and Sean Williams of Leonard Curtis, were appointed as joint administrators on April 23, 2025. Big Box Intralogistics specialized in the wholesale of other machinery and equipment. Its registered office is currently at Big Box House, 1 - 3 Wood Lane Mews, Beverley, East Yorkshire, HU17 8DA. It will be changed to c/o Leonard Curtis, 9th Floor, 7 Park Row, Leeds, LS1 5HD. Its principal trading address is at Big Box House, 1 - 3 Wood Lane Mews, Beverley, East Yorkshire, HU17 8DA. The joint administrators can be reached at: Phil Deyes Sean Williams Leonard Curtis 9th Floor, 7 Park Row Leeds, LS1 5HD Further details, contact: The Joint Administrators Tel No: 0113 323 8890 Email: recovery@leonardcurtis.co.uk Alternative contact: Melissa Smithers HENKINS LIMITED: Cowgills Limited Named as Joint Administrators --------------------------------------------------------------- Henkins Limited (Formerly Msoft E-Solutions Limited) was placed into administration proceedings in the High Court of Justice Business and Property Courts in Liverpool Insolvency and Companies List (ChD), No 000110 of 2025, and Jason Mark Elliott and Craig Johns of Cowgills Limited, were appointed as joint administrators on April 17, 2025. Trading as T/A MSoft360, Henkins Limited's registered office and principal trading address is at Gateway House Old Hall Road, Bromborough, Wirral, CH62 3NX. The joint administrators can be reached at: Jason Mark Elliott Craig Johns Cowgills Limited Fourth Floor Unit 5B The Parklands, Bolton BL6 4SD Tel No: 0161 827 1200 For further information, contact: Katie Parker Cowgills Limited Tel No: 0161 672 5763 Email: Katie.Parker@cowgills.co.uk Fourth Floor Unit 5B, The Parklands Bolton, BL6 4SD HOPS HILL NO.4: Fitch Affirms 'BB+sf' Rating on Class E Notes ------------------------------------------------------------- Fitch Ratings has affirmed Hops Hill No.4 plc's notes, as detailed below. Entity/Debt Rating Prior ----------- ------ ----- Hops Hill No.4 plc Class A XS2802115167 LT AAAsf Affirmed AAAsf Class B XS2802116561 LT AAsf Affirmed AAsf Class C XS2802116645 LT Asf Affirmed Asf Class D XS2802116991 LT BBB+sf Affirmed BBB+sf Class E XS2802117023 LT BB+sf Affirmed BB+sf Transaction Summary Hops Hill No.4 plc is a securitisation of buy-to-let (BTL) mortgages originated in England and Wales by Keystone Property Finance Limited. The transaction contains collateral previously securitised in Hops Hill No.1 plc as well as more recent origination. KEY RATING DRIVERS Completion of Pre-Funding Period: The transaction contained a pre-funding mechanism through which further loans could be added to the asset pool. These loans were funded through the proceeds from the note issuance as well as principal receipts received in the pre-funding period. The pre-funding period concluded in November 2024 with around GBP107 million of assets acquired since closing. The final pool composition is broadly in line with closing, other than an increase in assets with very low seasoning. This has caused an increase in the weighted average (WA) sustainable loan-to-value and a small reduction in the WA recovery rate (RR). This portfolio migration was considered at closing and incorporated in Fitch's rating analysis. Limited Arrears Growth: Arrears greater than one-month and three-months total 1.2% and 0.7% respectively. The pool contained no loans in arrears at closing. In addition, there have been no losses since closing. The transaction's performance has been better than the Fitch UK BTL index average, although the WA seasoning of the pool is only 28 months. The asset performance, combined with credit enhancement (CE) build up for senior notes, supports the affirmations. Fixed Hedging Schedule: At closing, the issuer entered a swap agreement to mitigate the interest rate risk arising from the fixed-rate mortgage loans before their reversion date. The swap was based on a defined schedule and Fitch has received an updated schedule reflecting the final pool. All fixed-rate loans are hedged, with the issuer currently slightly over-hedged. This excess hedging is beneficial to the issuer in a rising interest-rate scenario and detrimental when interest rates are falling. Class E Rating Constrained: The class E notes are not collateralised by the mortgage loans and are instead expected to be repaid through release of the liquidity reserve to principal available funds or from revenue available funds through the turbo amortisation mechanism. The class E notes' rating is constrained at 'BB+sf' due to its reliance on excess revenue, in line with Fitch's Global Structured Finance Rating Criteria. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade The transaction's performance may be affected by changes in market conditions and economic environment. Weakening economic performance is strongly correlated to increasing levels of delinquencies and defaults that could reduce credit enhancement available to the notes. Unanticipated declines in recoveries could also result in lower net proceeds, which may make certain notes susceptible to potential negative rating action depending on the extent of the decline in recoveries. Fitch conducts sensitivity analyses by stressing both a transaction's WA foreclosure frequency (FF) and WARR assumptions and examining the rating implications for all classes of notes. Fitch found that a 15% increase in the WAFF, along with a 15% decrease in the WARR, would lead to downgrades of one notch for the class A notes, two notches for the class B, C and D notes, and have no rating impact on the class E notes. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Stable to improved asset performance driven by stable delinquencies and defaults would lead to increasing credit enhancement and potentially upgrades. Fitch found that a decrease in the WAFF of 15% and an increase in the WARR of 15% would lead to upgrades of up to one notch for the class B, C and D notes. The class A notes are at the highest achievable rating on Fitch's scale and cannot be upgraded. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Fitch has checked the consistency and plausibility of the information it has received about the performance of the asset pool and the transaction. Fitch has not reviewed the results of any third party assessment of the asset portfolio information or conducted a review of origination files as part of its ongoing monitoring. Prior to the transaction closing, Fitch reviewed the results of a third party assessment conducted on the asset portfolio information and concluded that there were no findings that affected the rating analysis. Prior to the transaction closing, Fitch conducted a review of a small targeted sample of the originator's origination files and found the information contained in the reviewed files to be adequately consistent with the originator's policies and practices and the other information provided to the agency about the asset portfolio. 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. ESG Considerations The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. IRIS FASHION: Armstrong Watson Named as Joint Administrators ------------------------------------------------------------ Iris Fashion Limited was placed into administration proceedings in the High Court of Justice Business and Property Courts in Leeds Company and Insolvency List No 000408 of 2025, and Daryl Warwick and Lindsey Cooper of Armstrong Watson LLP, were appointed as joint administrators on April 23, 2025. Iris Fashion specialized in the retail sale of clothing in specialized stores. Its registered office is at 143-145 Northcote Road, London, SW11 6PX. Its principal trading address is at 143-145 Northcote Road, London, SW11 6PX; 86 Church Road, London, SW13 0DQ; 74 High Street, Wimbledon Village, London, SW19 5EG; 28/28A Rosslyn Hill, London, NW3 1NH. The joint administrators can be reached at: Daryl Warwick Lindsey Cooper Armstrong Watson LLP James Watson House Montgomery Way Rosehill, Carlisle Cumbria, CA1 2UU Further details contact: Holly Wood Tel No: 01228 690200 Email: holly.wood@armstrongwatson.co.uk LASERAID UK: MHA Named as Administrators ---------------------------------------- Laseraid UK Limited was placed into administration proceedings in the High Court of Justice, Business and Property Courts of England and Wales, Insolvency & Companies List (ChD) Court Number: CR-2025-002979, and Andrew Duncan and James Alexander Snowdon of MHA, were appointed as administrators on April 30, 2025. Laseraid UK specialized in the repair of machinery. Its registered office and principal trading address is at Unit 3 Capital Business Park, Manor Way, Borehamwood, WD6 1GW. The administrators can be reached at: Andrew Duncan James Alexander Snowdon MHA 6th Floor, 2 London Wall Place London, EC2Y 5AU Further details contact: Alex Timotheou Email: alex.timotheou@mha.co.uk Tel No: 020 7429 4100 ROGERS CORY: Seneca IP Named as Administrator --------------------------------------------- Rogers Cory Partnership Limited was placed into administration proceedings in the High Court of Justice Business and Property Courts in Leeds Company and Insolvency List No 412 of 2025, John Hedger of Seneca IP Limited was appointed as administrator on April 23, 2025. Rogers Cory, fka DHA Engineering Limited, specialized in the construction of civil engineering projects. Its registered office is at Speedwell Mill, Old Coach Road, Tansley, Matlock, DE4 5FY. Its principal trading address is at The Old School, Old School Road, Hook, RG27 9NJ. The administrator can be reached at: John Hedger Seneca IP Limited Speedwell Mill, Old Coach Road Tansley, Matlock, DE4 5FY Further Details Contact: Michelle Shaw Tel No: 01629 761700 Email: Michelle.Shaw@seneca-ip.co.uk SEVENTY NINTH: Quantuma Advisory Named as Administrators -------------------------------------------------------- Seventy Ninth Aviation Ltd was placed into administration proceedings in the Business and Property Courts in Manchester Court Number: CR-2025-MAN-000607, and Jeremy Woodside and Tracey Pye of Quantuma Advisory Limited, were appointed as administrators on April 23, 2025. Seventy Ninth specialized is a private jet charter provider. Its registered office is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ and it is in the process of being changed to C/o Quantuma Advisory Limited, The Lexicon, 10-12 Mount Street, Manchester, M2 5NT. Its principal trading address is at Southport Business Park, Wight Moss Way, Southport, PR8 4HQ. The administrators can be reached at: Jeremy Woodside Tracey Pye Quantuma Advisory Limited The Lexicon, 10-12 Mount Street Manchester, M2 5NT For further details, please contact: Alex Holliday Tel No: 01616 949 144 Email: alex.holliday@quantuma.com STRATTON LAND: PKF Named as Joint Administrators ------------------------------------------------ Stratton Land Limited was placed into administration proceedings in the High Court of Justice, Business and Property Court in Leeds, Court Number: CR-2025-LDS-000422, and James Sleight and Oliver Collinge of PKF Littlejohn Advisory Limited, were appointed as joint administrators on April 28, 2025. Stratton Land specialized in the construction of domestic buildings. Its registered office is currently at 124 City Road, London, EC1V 2NX, to be changed to: c/o PKF Littlejohn Advisory Limited, 3rd Floor, One Park Row, Leeds LS1 5HN. Its principal trading address is at Floor 5, 89 Embankment, London SE1 7TP. The joint administrators can be reached at: James Sleight Oliver Collinge PKF Littlejohn Advisoy Limited 3rd Floor, One Park Row Leeds, LS1 5HN For further details contact: Katie Hazle Email: khazle@pkf-l.com T&L HOLDCO: S&P Affirms 'B' ICR and Negative Outlook ---------------------------------------------------- S&P Global Ratings affirmed its 'B' issuer rating and negative outlook on T&L Holdco (Travelodge). S&P also affirmed its 'B' issue rating on the senior secured notes issued by TVL Finance PLC. The negative outlook reflects S&P's view that it could lower the ratings in the next few months if it was to observe continued deterioration in consumer demand and higher-than-expected cost pressures, leading to adjusted leverage remaining above 6.5x for a prolonged period, alongside a deterioration in FOCF after leases or a weakening liquidity profile. S&P said, "Travelodge's 2024 results are weaker than we previously anticipated although FOCF after leases remains positive. The group reported flat revenue for 2024 of GBP1.037 billion compared to 2023, driven by a 2.8% decline in average daily rates (ADRs) that was softer than the market average and only partially offset by a higher occupancy rate of 84.2%, up 50 basis points compared with 2023. We believe this is partly due to Travelodge's lower-than-usual room capacity because a sizable number of rooms were not available due to refurbishment activities under its accelerated refit cycle, under which it accomplished 50% of the room estate by end-2024." Soft customer demand, along with some one-off costs and fees related to the 66-hotel acquisition and debt refinancing in 2024, as well as a series of initiatives to support the Travelodge brand through advertising campaigns and an upgrade in property management systems, drove the S&P Global Ratings-adjusted EBITDA margin to 44.1% in 2024--about 150 basis points lower than our previous forecast--from 47.5% in 2023. The group still posted positive FOCF after leases of GBP24 million, albeit lower than our previous forecast of GBP40 million. It also represents a decline from GBP75 million in 2023 partly due to an increase in capital expenditure (capex) to GBP115 million from the accelerated refurbishments compared to only GBP81 million in 2023, in addition to the weaker profitability. Soft consumer demand continues to loom over the budget hotel sector and Travelodge. S&P said, "We expect customer demand for budget hotels in the U.K. to remain uncertain in 2025, partly due to the sector's inherently short lead time booking patterns. It also remains to be seen how the U.K. Autumn Budget will impact consumer sentiment regarding traveling to London for business and leisure--assuming continuing inflationary pressure, and whether and to what extent the additional income from a higher national living wage will support higher room rates. That said, we expect Travelodge's occupancy rate in 2025 to remain resilient, supported by its improved estate quality given the recent refitting alongside an improving long-lead event booking pattern and a high level of brand awareness. We also note that the ongoing limited supply of budget hotels in the U.K. could benefit Travelodge's occupancy and pricing. As such, we expect total revenue to grow by about 3% in 2025 on the back of hotel openings and improving occupancy rate and room rates. We note that the group's ambition to expand internationally is still at an early stage of development and its Spanish and Irish operations account for less than 3% of total revenue. We now expect slightly lower profitability compared to our last forecast, with an S&P Global Ratings-adjusted EBITDA margin of about 45%-46% in 2025 from 44.1% in 2024. We believe the impact on labor costs from the U.K. Autumn Budget will be offset by improving ADRs and occupancy rate, alongside tight cost control and some leeway in improving labor productivity with its in-sourcing capabilities and some level of automation in key activities, such as cleaning and room checks." As a result, Travelodge's credit metrics and rating headroom are still under pressure. S&P said, "We forecast a slower deleveraging trend in the medium term, with S&P Global Ratings-adjusted leverage slightly above 7.0x in 2025, before deleveraging to about 6.7x in 2026 due to improving ADRs and occupancy rate. We believe that if the unfavorable demand patterns for the budget hotel sector were to continue or the group's cost saving initiatives yielded lower returns than expected, its leverage could become structurally higher than 6.5x, at a level not commensurate with our current 'B' rating. Our adjusted debt calculation in 2025 includes GBP415 million senior secured notes, EUR250 million senior secured floating-rate notes, the GBP105 million loan drawn in 2024 to finance the 66-hotel acquisition under TL Prop Holdco Ltd. (Propco), and about GBP2.6 billion lease liabilities at the T&L Holdco level. Our leverage calculation does not include any cash due to the group's financial sponsor ownership and excludes two shareholder loans with principal amounts of GBP95 million issued before the pandemic and GBP40 million issued during the pandemic, because they meet our requirements for equity treatment." S&P said, "We now expect slower growth in FOCF after leases that will reach about GBP40 million in 2025 from GBP24 million in 2024. We anticipate management will continue to focus on its investments in the brand, real estate, and size. Amid other initiatives, the refit program is an important means to strengthen Travelodge's market position and underpin demand metrics. We assume annual capex will remain elevated over 2024-2026 at about GBP130 million per year, including investments for refitting activities. That said, we see part of the capex as discretionary, whereby the group typically has a three-month window to decelerate or halt projects to preserve cash in a weak trading environment. We also anticipate management will become even more prudent in planning its portfolio expansion by picking the right hotel size with the right return profile. "We will continue to monitor how the group's real estate strategy will impact its leverage profile. The group acquired 66 Travelodge-branded hotels for a total consideration of GBP210 million under Propco. The debt required for this acquisition is consolidated under the rated entity T&L Holdco Ltd. We understand that the holders of the real estate-related debt (TL Prop Holdco Ltd.) have no recourse over the assets that act as security on the senior secured notes issued by TVL Finance PLC and Propco will not act as a guarantor of the existing senior secured notes. We understand that management could explore further real estate transactions, which could denote a change in its lease strategy and financial policy since the group could use cash from the operating company structure (opco) to finance acquisitions outside the restricted group or receive additional debt facilities. While we note that the recent acquisitions, including the nine U.K. hotels from Louvre Hotel Group, were made within the opco, we will continue to monitor the group for the eventuality of such a situation because it could affect the creditworthiness of the opco. "We believe Travelodge will maintain an adequate liquidity profile in the next 12 months. The group holds about GBP236 million in cash as of Dec. 31, 2024, in addition to the fully undrawn GBP50 million revolving credit facility (RCF) due October 2027 and our estimate of GBP170 million cash funds from operations (FFO). T&L's GBP105 million Propco loan is due in February 2026; we understand the facility can be extended by 12 months at Travelodge's option subject to certain conditions that we expect T&L will be able to meet. We understand the issuer is also contemplating alternative refinancing options. Given the group's current liquidity position we assume it could also repay the facility when due and we treat it as current in our liquidity analysis. We note that the next maturities are GBP415 million senior secured fixed-rate notes due April 2028 and EUR250 million senior secured floating-rate notes due June 2030. "The negative outlook reflects uncertainties in relation to the evolution of travel demand in the U.K. in 2025, as well as the group's ability to successfully mitigate cost pressures. We expect the S&P Global Ratings-adjusted EBITDA margin to improve to 45.0%-46.0% in 2025 from 44.1% in 2024, leading to leverage slightly above 7.0x, before moderating to about 6.7x in 2026 on the back of improving demand fundamentals and hotel openings. We also expect FOCF after leases will grow to about GBP40 million in 2025 and about GBP56 million in 2026, which should support the group's liquidity profile." S&P could lower the rating in the next 12 months if: -- Operational missteps or softness in the macroeconomy and the sector weaken the group's operating performance below its base case, such that adjusted debt to EBITDA remains above 6.5x for a prolonged period without a clear path of deleveraging, while FOCF after leases deteriorates, weakening the group's liquidity position; or -- The group pursues a more aggressive financial policy or real estate acquisition strategy, resulting in credit metrics persistently weaker than S&P's current base-case expectations. A lower rating could also result from a meaningful deviation in credit quality between the rated topco (T&L Holdco Ltd.) and the operating company of the restricted group (Thame and London Ltd). S&P said, "We could revise the outlook to stable over the next 12 months if the group outperforms our base case and demonstrates a clear deleveraging path toward 6.5x, as measured by S&P Global Ratings, while it maintains positive and growing FOCF after leases. Under this scenario, we would expect the group to withstand structural cost pressures in the U.K. labor market, amid its expansion in real estate and the ongoing need to invest in its brands." =============== X X X X X X X X =============== [] BOOK REVIEW: PANIC ON WALL STREET ------------------------------------ A History of America's Financial Disasters Author: Robert Sobel Publisher: Beard Books Softcover: 469 Pages List Price: $34.95 Review by: Gail Owens Hoelscher http://www.beardbooks.com/beardbooks/panic_on_wall_street.html "Mere anarchy is loosed upon the world, the blood-dimmed tide is loosed, and everywhere the ceremony of innocence is drowned; the best lack all conviction, while the worst are full of passionate intensity." What a terrific quote to find at the beginning of a book on a financial catastrophe! First published in 1968, Panic on Wall Street covers 12 of the most painful episodes in American financial history between 1768 and 1962. Author Robert Sobel chose these particular cases, among a dozen or so others, to demonstrate the complexity and array of settings that have led to financial panics, and to show that we can only make; the vaguest generalizations" about financial panic as a phenomenon. In his view, these 12 all had a great impact on Americans of the time, "they were dramatic, and drama is present in most important events in history." They had been neglected by other financial historians. They are: William Duer Panic, 1792 Crisis of Jacksonian Fiannces, 1837 Western Blizzard, 1857 Post-Civil War Panic, 1865-69 Crisis of the Gilded Age, 1873 Grant's Last Panic, 1884 Grover Cleveland and the Ordeal of 183-95 Northern Pacific Corner, 1901 The Knickerbocker Trust Panic, 1907 Europe Goes to War, 1914 Great Crash, 1929 Kennedy Slide, 1962 Sobel tells us there is no universally accepted definition of financial panic. He quotes William Graham Sumner, who died long before the Great Crash of 1929, describing a panic as "a wave of emotion, apprehension, alarm. It is more or less irrational. It is superinduced upon a crisis, which is real and inevitable, but it exaggerates, conjures up possibilities, take away courage and energy." Sobel could find no "law of panics" which might allow us to predict them, but notes their common characteristics. Most occur during periods of optimism ("irrational exuberance?"). Most arise as "moments of truth," after periods of self-deception, when players not only suddenly recognize the magnitude of their problems, but are also stunned at their inability to solve them. He also notes that strong financial leaders may prove a mitigating factor, citing Vanderbilt and J.P. Morgan. Sobel concludes by saying that although financial panics have proven as devastating in some ways as war, and while much research has been carried out on war and its causes, little research has been done on financial panics. Panics on Wall Street stands as a solid foundation for later research on the topic. ********* 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 2025. 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 * * *