“It doesn’t surprise me at all because we already expected it.” Clemente Fernández, the leader of Abengoashares, considers that the decision of Abengoa’s insolvency administrator to request the suspension of the powers of the current Abengoa board of directors and its subsidiaries, which would include Abenewco 1, the business and asset holder, it does not change the plans of the minority shareholder platform and its partner, the Ultramar fund, to launch an offer to save the company.
To this end, they continue to negotiate with industrial groups and investment funds their adherence to the alternative proposal to the offer already transferred by Terramar and which has the support of the current council, headed by Juan Pablo López-Bravo.
Abengoa’s bankruptcy administration, exercised by EY Abogados, has requested the suspension of the powers of the Seville engineering board of directors four months after the Third Section of the Commercial Court of Seville declared the company bankrupt.
Specifically, it has requested the change of regime from the current intervention to the suspension of the powers of the bankrupt over the active mass, by virtue of article 108 of Royal Legislative Decree 1/2020, of May 5, by which approves the revised text of the Bankruptcy Law. In addition, for the rest of the companies belonging to the group of the bankrupt, the bankruptcy administration has requested the Court the regime of intervention of the powers of the respective administrative bodies, among which is Abenewco 1.
Now the judge will have to rule on the request of the bankruptcy administration and it is foreseeable that it is admitted. In that case, the change in the Abengoa board of directors promoted by the Shareholders’ Union to elevate Clemente Fernández to the presidency would lose its effectiveness, since it would not have management capacity.
The Sindicatura requested an extraordinary meeting to be held on May 21, but the current council has not convened it within the legal period of one month – it had until June 21-.
For Fernández, the administrator’s movement “does not change our scenario and we continue to move forward with the aim of getting our offer,” says Fernández.
“We will not be able to overthrow the council or access it, but we will be able to vote on all the points on the agenda for or against depending on what is offered to us,” abounds the businessman, who applauds that now the direct dialogue is with the bankruptcy administrator and not with the current council and is “optimistic” about the negotiations to “facilitate an offer and save the company.” Thus, if the bankruptcy administrator accepts the offer, it will be the buyers who subsequently appoint the council.
Abengoashares and Ultramar made a non-binding offer together with the Caabsa Group in April
Abengoashares and Ultramar made a non-binding offer in April together with Grupo Caabsa, a Mexican company owned by brothers Luis and Mauricio Amodio. In May, however, the Mexican businessmen, OHL’s first shareholders, left the alliance after analyzing Abengoa’s ‘due diligence’ , although they left the door open to join again if the situation of Sevillian engineering was clarified.
For now, Fernández continues to negotiate with industrial groups and investment funds, mainly international. Some of them had made joining Fernández to take control of the council, something that will no longer happen, at least as he had planned.