Berlin/Frankfurt—Global law firm Dentons has advised numerous national and international credit institutions as promissory note loan holders of Leoni AG in the context of restructuring of Leoni’s financial liabilities. 

A Dentons team led by Andreas Ziegenhagen has been advising this group of creditors since mid-2022 on the implementation of a consensual restructuring documentation initially sought by the borrower. When the sale of parts of the company, which was a condition for the consensual restructuring, could not be completed as planned at the end of 2022, Dentons continued to advise and represent the promissory note loan holders in preparation for proceedings under the StaRUG including preceding as well as the preparation prior to the the court hearing. 

Following the discussion and voting hearing (Erörterungs- und Abstimmungstermin) on May 31, 2023, the restructuring plan (Restrukturierungsplan) under the StaRUGwas confirmed by the local court of Nuremberg on June 21, 2023. The plan relieves Leoni AG of financial liabilities in the total amount of €708 million as part of the financial restructuring. The plan further provides for a reduction of the share capital of Leoni AG to zero euros. This will lead to a squeeze-out of the existing shareholders and a delisting of the Leoni shares. With the implementation of the further capital measures, Leoni AG will receive €150 million in new liquidity from a capital increase under exclusion of subscription rights.

Following the implementation of the plan, Dentons Wirtschaftsprüfungsgesellschaft Steuerberatungsgesellschaft will continue to act as the promissory note representative under the restructuring documentation.

LEONI is a global provider of products, solutions and services for energy and data management in the automotive industry. The group of companies employs about 95,000 people in 27 countries and generated consolidated sales of €5.1 billion in 2022.

Advisors to promissory note loan holders:

Dentons (Berlin/Frankfurt): Andreas Ziegenhagen (Partner, Lead, Berlin/Frankfurt), Dr. Detlef Spranger (Counsel), Yasmin Mohammadi, Franziska Nordmann, Konrad Böning (all Associates, all Restructuring, all Berlin), Dr. Oliver Dreher (Partner), Philippa Münnich-Winter (Senior Associate, both Capital Markets, both Frankfurt)

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