Mriya redeems USD 15 mln of working capital loan

Mriya Agroholding (MRIYA) announced on Nov. 30 that it made the first payment of USD 15 mln out of a USD 25 mln loan drawn from creditors in June for working capital purposes. The creditors extended repayment of the balance until Jan. 31, 2016 and could extend it by another month. The credit line was obtained in order to finance the harvesting campaign and to start exports, the company said. As Mriya began exporting its produce, it became capable of partially repaying the loan. For 2016, Mriya said it expects to raise USD 55 mln from creditors in order to finance working capital.

Roman Topolyuk: Though the repayment of USD 15 mln is just 1% of the company’s total debt that has yet to be restructured, redeeming a part of the drawn working capital facility makes Mriya increasingly resemble a going concern – it’s common for a farming company to raise pre-crop financing and repay the debt after harvest. No restructuring solution has been offered yet on Mriya’s total debt, which was USD 1.15 bln as of mid-June 2015.