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Codere Restructuring proposal obtains bondholders' support

Madrid, May 19, 2021-. Codere confirms that the "lock-up agreement", signed with its main financial creditors in the framework of the company's restructuring process, has obtained to date the adherence of the holders of approximately 89% of the 500,000,000 Euros Senior Notes and 94% of the 300,000 US dollars Senior Notes, as well as 90% of the holders of the Super Senior Notes, as well as 90% of the holders of the Super Senior Notes.

The lock-up agreement, announced by the company on April 22 and subject to English law, establishes that for its implementation it must be ratified in the United Kingdom, after having previously achieved the support of at least 75% of both classes of bonds, so that the restructuring proposal has achieved the necessary support for the continuation of the process. 

Bondholders may continue to adhere to this agreement until May 28. Those who confirm their consent to the restructuring prior to this date will be entitled to receive an "acceptance fee", subject to the implementation of the restructuring, equal to 0.25% of the principal amount of the Super Senior Notes and/or the Senior Notes (as applicable). 
Extraordinary General Meeting and shareholder support 
On May 11, 2021, the company called an Extraordinary General Meeting in order to submit for ratification the company's subscription to this lock-up agreement, obtaining the commitment of the vast majority of the share capital and its support for the restructuring process. 
Financing until full business reopening
This financial restructuring agreement shows the confidence of the group's current creditors in the company's project, its management team and the more than 10,000 employees that make up the organization.
Its execution means the injection into the company of up to 225 million euros in the form of new bonds and the capitalization of up to 367 million euros of debt, corresponding to part of the existing senior secured bonds, placing Codere's indebtedness at levels considered sustainable once the business is normalized and providing the company with the necessary solvency until the full reopening of its operations, according to current projections.
The new funds will be raised through a €100M bridge loan, of which €30M was provided after the restructuring announcement on April 27th and €70M is expected to be issued before the end of May after having obtained the adhesion of more than 75% of the bondholders; and up to an additional €125M granted through Super Senior Bonds to be provided at the closing of the restructuring process.