Legal attitude: Art. 17 par. 1 MAR - confidential information.
Board Erbud S.A. (Issuer) I inform that on January 28, 2019, he received the signed Annex No. 16 to the Loan Agreement of June 2, 2009; Annex No. 12 to the Framework Agreement of 02 February 2010 and Annex No. 9 to the Agreement on overdraft facility dated February 22, 2011.
Under these Annexes, the Issuer may use the multi-purpose line up to a total of PLN 90 million, including the option of incurring debt up to PLN 10 million.
The collateral of the aforementioned multi-purpose contract is the assignment of claims under construction contracts, a power of attorney to a bank account at mBank S.A., a declaration of submission to enforcement pursuant to art. 777 / § 1 point 5 and a security deposit in case of ordering a guarantee with a period longer than 24 months.
As a result of the signed Annexes, financial ratios changed, which the Issuer undertook to achieve during the Agreements. Upon the entry into force of the aforementioned Annexes, financial ratios will be based on consolidated financial data of the ERBUD Capital Group (before the Annexes were implemented, based on unit data of Erbud SA)
The Issuer undertook to maintain financial ratios at the following levels :
1 / current liquidity ratio, indicator calculated in accordance with the following formula: (inventories - non-negotiable inventories + receivables and claims - bad debts - receivables pursued in court + short-term investments + short-term prepayments) / (short-term liabilities towards affiliated entities and other entities, without special funds + accruals) - min. 1.2;
2 / EBIT margin ratio, indicator understood as the ratio of operating profit / loss to total revenues; Total revenues are understood as the sum of revenues from the sale of products and services as well as goods and materials, other operating income and financial income, min. 1%;
3 / equity ratio, indicator understood as the ratio of equity to total assets - min. 25%;
4 / net financial liability / annual EBITDA ratio, where net financial liabilities are understood as the sum of long-term and short-term loans, loans, issues of securities and otherfinancial liabilities towards other and related entities, decreased by cash and other cash assets, and annual EBITDA as the sum of net profit, interest, income tax and depreciation - max 2.5 at the end of the second calendar quarter and max 2.0 at the end of the fourth quarter calendar;
Items: total revenues, operating profit / loss and EBITDA will be calculated incrementally for the last 12 months.
The maturity of the line falls on January 31, 2020.
Other conditions do not differ from market conditions.
Source: company website, investor relations, current and periodic reports.