Harju County Court has decided to continue with the reorganization proceedings of an AS Pro Kapital Grupp subsidiary, T1 Mall of Tallinn owner Tallinna Moekombinaat, by appointing two experts to evaluate the reorganization plan and the court will decide on the approval of the reorganization plan not later than on August 10.
The experts have to provide their opinion by July 22 2020. The court can approve the reorganization plan, if at least one of the experts finds that the reorganization of the company is likely to succeed, Pro Kapital Grupp told the stock exchange.
If the court will not approve the reorganization plan, the reorganization proceedings shall be terminated, however, such decision will be subject to appeal.
On April 3, AS Pro Kapital Grupp notified about the initiation of reorganization proceedings of its subsidiary, AS Tallinna Moekombinaat. On May 7, Pro Kapital announced that AS Tallinna Moekombinaat had submitted a reorganization plan for the acceptance of its creditors, outlining a brief summary of the measures to be applied in the plan.
A substantial majority of the creditors voted for the acceptance of the plan. However, the claims of the creditors who voted for the plan, were not sufficient to get the plan approved. On June 2, AS Tallinna Moekombinaat submitted an application to the court to approve the reorganization plan without the prior acceptance of the plan by the creditors.
Editor: Helen Wright