The holders of the EUR 20 million green bonds of „Auga Group“, one of the largest organic food producers in the Baltics, which is experiencing financial difficulties and has initiated a restructuring, have resolved that the securities should be redeemed on December 17, this year, as scheduled. 

This decision was taken on Friday by a meeting of bond investors.  

„In accordance with the decisions approved at the meeting, the maturity date of the bonds remains December 17, 2024“, the company announced via the Vilnius Stock Exchange on the „Nasdaq“ marketplace. "

After„Auga Group“ shareholder and chairman of the board Kęstutis Juščius announced this week that the group had managed to reach an agreement with the bondholders on the redemption of the bonds by the end of 2026, the latter's lawyer, Marius Grajauskas, told BNS at the beginning of the week that no deal had been reached.

According to Grajauskas, the positions do not coincide both on the terms of the bonds' redemption and the deadline, which remains unchanged at 17 December of this year. 

„Auga Group“ later clarified that, based on the agreements in principle heard during the consultations, the company has provided in the draft restructuring plan for the possibility of settling the bonds with the bondholders by 31 December 2026.

The Group's four-year restructuring plan will be considered by its shareholders on 4 December.

Under the plan, the Group intends to double its operating costs by 2027, divest part of its businesses and assets, and merge or close up to 60 companies.

„Auga Group“ issued a EUR 20 million green bond at 6% per annum in 2019 – this was the first time such a bond was issued by a listed private equity company in the Baltics.