Stoneway Announces Delay of Meeting Date in Connection with Restructuring Transaction

TORONTO, Nov. 12, 2020 /CNW/ - Stoneway Capital Corporation ("Stoneway" and, together with its subsidiary and parent entities, the "Company") announced today that it is adjourning the date of the meeting (the "Noteholders' Meeting") of holders ("Noteholders") of the Company's outstanding 10.000% senior secured notes due 2027 (the "Existing Notes") to consider and vote upon its proposed corporate plan of arrangement under the Canada Business Corporations Act to implement the previously announced proposed restructuring transaction (the "Transaction") pursuant to a restructuring support agreement entered into among the Company, certain interested parties and an ad hoc group of Noteholders holding a substantial majority of the Existing Notes.

The parties have agreed to adjourn the Noteholders' Meeting to allow additional time for discussions among the parties regarding certain potential amendments to the terms of the new senior secured notes (the "New Senior Secured Notes") to be issued by the Company to Noteholders upon implementation of the Transaction. The Company will provide additional information with respect to any such amendments to the New Senior Secured Notes, if and when agreed, in a supplement to the Company's Management Information Circular dated October 13, 2020 that will be made available to Noteholders in advance of the Noteholder's Meeting on the Company's website through the Investors section at https://www.stonewaycap.com/investor-relations and/or through Kingsdale Advisors by calling toll free at 1-888-327-0825 or 416-867-2272 or by email at [email protected].

The Company will provide further details with respect to the Noteholders' Meeting once a new meeting date has been determined.

About Stoneway

Stoneway Group's principal business is the construction, ownership and operation of power generation facilities located in Argentina. 

FORWARD LOOKING STATEMENTS: Certain information contained in this press release may contain forward looking statements within the meaning of applicable securities laws. The use of any of the words "continue", "plan", "propose", "would", "will", "believe", "expect", "position", "anticipate", "improve", "enhance" and similar expressions are intended to identify forward-looking statements. More particularly and without limitation, this document contains forward-looking statements concerning: the Transaction and discussions among the relevant parties in connection therewith; expected amendments to the terms of the New Senior Secured Notes and the timing for announcement thereof; the expected process and timing for implementing the Transaction; and the holding and timing of, and matters to be considered at, the Noteholders' Meeting.

Forward-looking statements necessarily involve risks, including, without limitation, risks associated with the ability of the Company to implement the Transaction on the terms described in this press release and in previous announcements, the ability of Stoneway to receive all necessary court, third party and stakeholder approvals in order to complete the Transaction; the matters to be considered and voted on at the Noteholders' Meeting; the ability of the Company to operate in the ordinary course during the proceedings under the Canada Business Corporations Act, including with respect to satisfying obligations to service providers, suppliers, contractors and employees; the ability of the Company to continue as a going concern; the ability of the Company to continue to realize its assets and discharge its liabilities and commitments; the Company's future liquidity position and access to capital to fund ongoing operations and obligations (including debt obligations); and the ability of the Company to stabilize its business and financial condition.

Although the Company bases its forward-looking statements on assumptions believed to be reasonable when made, they are not guarantees of future performance and actual results of operations, financial condition and liquidity, and developments in the industry in which the Company operates, may differ materially from any such information and statements in this news release.  Other unknown or unpredictable factors also could harm the Company's future results. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements included in this news release are made only as at the date hereof. The Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by law.

SOURCE Stoneway Capital Corporation

David Mack, Director, [phone] (x06), 410 Park Avenue, Suite 900, New York, NY 10022; Juan I. Sánchez Alcázar, Chief Restructuring Officer, Av. Del Libertador 498, 15th floor, Buenos Aires (C1001ABR), Argentina