Cable Satisfaction obtains interim liquidity facility, extension of court order

By Carlise Newman

Chicago, July 23 - Cable Satisfaction International Inc. said an amendment to the credit facility of its subsidiary Cabovisao - Televisao por Cabo, SA will provide Cabovisao with access to an additional €6.0 million, or $9.6 million as of July 22, under an interim liquidity facility committed by Caisse de depot et placement du Quebec. In addition, the company has obtained an extension on its deadline to file a plan of reorganization.

Under the agreement, Cabovisao will have immediate access to €1.5 million and can access an additional €4.5 million at a later date. The financing will allow Cabovisao to maintain normal service to customers and pay employees under usual conditions over the coming months.

Cable Satisfaction also announced it has obtained an extension until Oct. 15 of the court order granted last month under the Companies' Creditors Arrangement Act from the Quebec Superior Court. The Longueuil, Que. provider of broadband services in Portugal expects to file a formal plan of arrangement and reorganization by July 25 and to mail details to creditors on or before Sept. 15. Cabovisao is not subject to this court order.

In order for the recapitalization and restructuring plan announced by Cable Satisfaction on June 13 to become effective, a court-supervised vote of unsecured creditors will be required. Implementation of a court-sanctioned plan will require approval of Cabovisao's bank syndicate, agreements with Cabovisao's trade creditors, documentation and the satisfaction of other conditions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.