Nynas ‘closes reorganisation’ after full payment of debts

Stockholm – Nynas AB has settled the payment "in full" to trade creditors who had claims remaining, effectively ‘closing its reorganisation’ which started in December 2019.

“We are grateful for the cooperation, patience and loyalty that our customers and suppliers have shown following a difficult time in the company's history,” said Bo Askvik, Nynas president & CEO in a 19 Jan statement. 

“Today we are pleased to announce that the payment of the remaining outstanding amounts has taken place,” he added.

Nynas filed for administration at Södertörn's District Court in 2019 as banks had withdrawn credit facilities and it was unable to pay due debts.

The financial problems were linked to sanctions imposed by the US treasury department’s office of foreign asset control (OFAC) on Nynas’s 50% shareholder PDVSA of Venezuela.

The Swedish refiner completed the year-long reorganisation process following the approval of a ‘composition proposal’ by creditors in December 2020.

As part of the composition agreement, the banks and the largest raw material supplier jointly declared that they agreed to have their claims converted into long-term senior loans with a maturity of 5 years, Nynas said.

“In the reorganisation process, we… came out as a stronger company with 5-year secured financing and a strengthened balance sheet. 

“We will in 2022 keep our focus on continuing to strengthen Nynas to the benefit of all our stakeholders,” Askvik said.