As per our last update, a restructuring plan has been proposed by the Administrators. For reasons outlined in our last update, Crowdstacker strongly believes that the proposed RP should not be passed and implemented in its current form so as to protect the financial interests of Crowdstacker Lenders.
This communication is being sent to you because you previously made a loan to Amicus Finance Plc (“Amicus”), which is currently in administration (a form of insolvency proceedings). The administrators of Amicus are seeking to implement a restructuring plan in respect of Amicus (the “Restructuring Plan”). This is a formal procedure under the Companies Act 2006 proposed by a company which has encountered, or is likely to encounter, financial difficulties that are affecting, or will or may affect, its ability to carry on business as a going concern. A restructuring plan enables a company to agree with its creditors a compromise in respect of debts owed to those creditors. It occurs in three stages: (1) the convening stage, at which the Court calls meetings of creditors; (2) the meeting stage, at which the creditors meet and vote on the plan; and (3) the sanction stage, at which the Court considers whether to sanction (i.e. approve and give effect to) the restructuring plan.
By an Order made on 9 July 2021, the High Court of Justice of England and Wales (the “Court”) has directed that meetings (the “Plan Meetings”) be convened of the Plan Creditors (as such term is defined in the Explanatory Statement (defined below)) of Amicus for the purposes of considering and, if thought fit, approving (with or without modification) the Restructuring Plan.
A copy of the Notice convening the Plan Meetings accompanies this communication (the “Notice”). The Notice contains details of the Plan Meetings (which are to be held virtually on 28 July 2021) and how to obtain access to a copy of the Restructuring Plan and the statement required to be furnished pursuant to section 901D of the Companies Act 2006 (the “Explanatory Statement”). Copies of Restructuring Plan and the Explanatory Statement will also be made available on the Crowdstacker platform. Further details of the Restructuring Plan and the Plan Meetings are set out in the Explanatory Statement.
Under the terms of the novation agreement dated 7 July 2021 (notice of which has previously been provided to you), Crowdstacker take the view that they have novated (i.e. transferred) your debt to them meaning that you are unable to attend and/or vote at the relevant Plan Meeting. If you do not agree with Crowdstacker’s view you may wish to obtain independent legal advice. If, as a result, you wish to attend and/or vote at the relevant Plan Meeting, you should notify Crowdstacker and contact the Administrators, following the process set out in the Notice and the Explanatory Statement.
The Notice and the Explanatory Statement and Restructuring Plan have been uploaded to your Crowdstacker accounts and are available below:
Restructuring Plan
We will attend the plan meeting and vote on your behalf.