Tele Columbus creditors seek Orion control
By Julian Clover
December 10, 2009 10.16 UK
Creditors of cash-strapped cable network Tele Columbus are formulating a plan to auction the company’s parent Orion Cable in a bid to recoup part of their investment.
The creditors, including Alcentra, York Capital, Golden Tree and the Bank of Ireland believe the plan will put pressure on Orion to surrender the assets. Previous attempts to create a debt for equity swap were rejected by the owners.
The move follows the expiry of a standstill agreement reached in August between Orion Cable and the Tele Columbus creditors. Orion had asked for around €50 million as a fee for transferring their shares to the banks as part of a debt write off, a move rejected by the creditors.