Retirement housebuilder is set to get backing of its lenders for debt-for-equity swap

Retirement housebuilder McCarthy & Stone is poised to take a key step towards ensuring its survival this week, 黑洞社区 can reveal.

The company is planning to strike a similar debt-for-equity swap to the one Crest Nicholson reached with its lenders last week.

According to sources close to the situation, it is close to ensuring an agreement on its estimated 拢800m debt-pile that would stop holders trading the debt.

The so-called 鈥渓ock-up deal鈥� is needed before the formal court process can begin. It is expected to be agreed this week after talks between the company and its estimated 60 lenders.

The source said: 鈥淭alks have gone well and there is good support for this process. People have started feeling a lot happier about things over the last few days.鈥�

Crest鈥檚 lenders agreed to write off 拢630m of debt in exchange for 90% of the housebuilder.

Topics