Avanquest, a listed company on Euronext Paris, is a market leader in software editing, photo editing and connected devices management. With €100 million in annual turnover, the Avanquest Group recently announced an indebtedness restructuring plan and an important market operation. Facing a €24 million indebtedness repayment, it was a necessity for the group to restructure its maturing debt. Eight months of negotiations conducted under the auspices of Me Bourbouloux resulted in a global restructuring plan between Avanquest and its various creditor banks, BPIfrance Participations, Pierre Cesarini (Avanquest CEO) and Maslow Capital Partners in addition to various qualified investors. This restructuring plan, approved by the Commercial Court of Nanterre, provides for a global treatment of the indebtedness and allows Avanquest and its shareholders to benefit from a debt write-off of more than €10.6 million.
In order to finance its international expansion and the launch of its new products, Avanquest will conduct a €30 million capital increase (subject to be set at €34.5 million) on Euronext Paris with preferential subscription rights. This operation was made possible through a capital decrease by reduction of the par value from €1 to €0.10. This rights issue, estimated to close mid-June, is guaranteed by Pierre Cesarini, managers of the Avanquest Group, the Maslow Capital Partners and various qualified investors in an amount equal to €22.5 million, which ensures its success.
Pierre Cesarini stated, “2014/2015 was an important year of rebuilding and restructuring. This capital increase is the final step of the Avanquest Group financial restructuring. It will allow us to continue pursuing our expansion and the new strategy, which already started to produce results.”
“This complex restructuring, paired with a market operation, highlights the restructuring/capital markets expertise of Dechert. We have also advised on various occasions other listed issuers (notably Atari) in similar restructuring operations,” explains Dechert LLP corporate partner Matthieu Grollemund.
Dechert’s Paris-based team advising Avanquest on this matter includes Matthieu Grollemund, corporate associates Quentin Durand, Hélene Parent and Raphael Sendowski and tax associate Antoine Le Touzé.
