Anglo-French Channel tunnel operator Eurotunnel has announced a long-awaited debt restructuring deal backed by three banks, telling shareholders the firm will go bankrupt without it.
Eurotunnel said that under the deal signed with Barclays, Goldman Sachs and Macquarie, its debt would be cut to £2.9 billion and a new company would launch a tender offer for existing shares.
In slides released at a presentation in Paris, Eurotunnel said if the deal was accepted by shareholders at their annual general meeting on July 12 then it would be implemented in the fourth quarter of 2006. 'If 'no': bankruptcy,' it added.
