Folli Follie gets closer to streamlining
Two full years after the scandal broke at Folli Follie, the troubled jewelry company’s new management is close to completing its streamlining plan and starting the restructuring process according to the bankruptcy code, Kathimerini understands.
The same sources say that the necessary actions for the submission of the streamlining application to justice for approval could be completed within two months. This is given the fact the the management of the company and its creditors are on the same side of the table, while the holders of the firm’s Swiss bonds and Eurobonds have approved the main terms of the streamlining agreement.
The new administration of Folli Follie has not approved the financing proposals by China-East Resources Import & Export Co (CERIECO) and the Callian Capital Group due to their lacking the proof of funds required and failing to meet the company’s streamlining requirements.
Until the judicial authorities have approved and ratified the agreement with Folli Follie’s creditors, the company is seeking to secure capital in the form of intermediary financing, as the economic lockdown has also affected its cash flows.