Greek jeweller Folli says board approved restructuring plan

Greek jewellery maker Folli Follie’s board of directors has approved a restructuring plan backed by a group of bondholders, the company said in a bourse filing on Thursday.

The restructuring plan comes after a hedge fund report in May last year sent Folli’s shares into a tailspin, prompted a legal investigation, a fine from the Greek securities watchdog and the resignation of the company’s founders.

Folli has admitted big discrepancies in its 2017 financial statements after an initial audit, has appointed new board members and started talks with creditors on how it will be restructured to avoid a collapse.

“During today’s meeting, the board of directors of the company approved the execution of an updated term sheet with a group of bondholders regarding the proposed financial restructuring of its group,” Folli said.

It added that the company would send “a consent invitation to all bondholders, with the purpose of achieving an agreement by the required by law percentage of its creditors”. 

[Reuters]