Share Article
IR.on AG has advised Green City Energy Kraftwerkspark II GmbH & Co. KG (KWP II) and Green City Energy Kraftwerkspark III GmbH & Co. KG (KWP III) in the context of preliminary insolvency proceedings. The companies are subsidiaries of Green City AG, a full-service provider for the development, construction, financing and operation of renewable energy plants, which filed for insolvency in 2022.
The central challenge was to inform as many investors as possible about the content and formal processes of the preliminary insolvency proceedings and the convened bondholders' meetings. The Green City subsidiaries KWP II and III had issued bearer bonds with a total volume of around EUR 83 million in five different tranches between 2015 and 2019.
With the support of IR.on AG, the required quorums of 50% of the investment volume to be represented were achieved at the bondholders' meetings for four of the five bond tranches. The bondholders thus gave a clear instruction to the Joint Representative to approve an insolvency plan.
IR.on AG worked closely on the project with the company, the insolvency administrators Oliver Schartl and Axel W. Bierbach from the law firm Müller-Heydenreich Bierbach & Kollegen and the Joint Representative, Dentons GmbH. The responsible advisors acted as the main point of contact for the bondholders and for the financial and business press via an investor hotline.
