/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/240917.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Tuesday, September 17, 2024, Vol. 25, No. 187 Headlines F R A N C E ALTICE FRANCE: $2.15BB Bank Debt Trades at 17% Discount G E R M A N Y TELE COLUMBUS: EUR462.5MM Bank Debt Trades at 22% Discount I R E L A N D OCP EURO 2017-2: S&P Assigns B-(sf) Rating on Class F-R Notes PALMER SQUARE 2024-2: Fitch Assigns 'BB+sf' Rating on Class E Notes L U X E M B O U R G SK NEPTUNE: 98% Markdown for Credit Suisse $745,000 Loan SK NEPTUNE: Credit Suisse Marks $161,000 Loan at 35% Off U N I T E D K I N G D O M 11052310 REALISATIONS: Voscap Limited Named as Administrators BLAKESLEY ESTATES: Kroll Advisory Named as Administrators BRACCAN MORTGAGE 2024-1: S&P Assigns BB(sf) Rating on Cl. X Notes BROADREACH RECRUITMENT: Milsted Named as Joint Administrators CTS TRANSPORT: Forvis Mazars Named as Administrators DEV VYAS: FRP Advisory Named as Administrators EUROSAIL 2006-1: Fitch Lowers Rating on Class E Notes to 'B-sf' GALLANT ENGINEERING: PKF Smith Named as Joint Administrators GOAL GLOBAL: Opus Restructuring Named as Administrators GOAL GROUP: Opus Restructuring Named as Administrators GOAL TAXBACK: Opus Restructuring Named as Administrators HAMILTON ADHESIVE: Leonard Curtis Named as Administrators HERBAL ESSENTIALS: Hudson Weir Named as Administrators INTECHNOLOGY PLC: DFW Associates to Lead Administration Proceedings INTERNATIONAL DECORATIVE: FRP Advisory Named as Administrators KYUK 2024: Opus Restructuring Named as Administrators L.E. WENT: Expedium Limited to Lead Administration Proceedings PRAESIDIAD LTD: EUR290MM Bank Debt Trades at 40% Discount SALTIRE MOTORCYCLES: Johnston Carmichael Named as Administrators SOLUTION RECRUITMENT: Verulam Advisory Named as Administrators STRABENS HALL: Begbies Traynor Named as Administrators TINIZINE LIMITED: Opus Restructuring Named as Administrators TRENT CIVILS: Leonard Curtis Named as Administrators - - - - - =========== F R A N C E =========== ALTICE FRANCE: $2.15BB Bank Debt Trades at 17% Discount ------------------------------------------------------- Participations in a syndicated loan under which Altice France SA is a borrower were trading in the secondary market around 83.2 cents-on-the-dollar during the week ended Friday, Sept. 13, 2024, according to Bloomberg's Evaluated Pricing service data. The $2.15 billion Term loan facility is scheduled to mature on February 2, 2026. About $546.0 million of the loan is withdrawn and outstanding. Altice France provides wireless telecommunication services. The Company offers fiber optic network solutions for all type of media. Altice France serves customers in France. ============= G E R M A N Y ============= TELE COLUMBUS: EUR462.5MM Bank Debt Trades at 22% Discount ---------------------------------------------------------- Participations in a syndicated loan under which Tele Columbus AG is a borrower were trading in the secondary market around 78.4 cents-on-the-dollar during the week ended Friday, Sept. 13, 2024, according to Bloomberg's Evaluated Pricing service data. The EUR462.5 million Term loan facility is scheduled to mature on October 16, 2028. The amount is fully drawn and outstanding. Tele Columbus AG provides cable services. The Company offers cable television programming, telephone, and internet connection services to homeowners and the housing industry. Tele Columbus operates throughout Germany. ============= I R E L A N D ============= OCP EURO 2017-2: S&P Assigns B-(sf) Rating on Class F-R Notes ------------------------------------------------------------- S&P Global Ratings assigned credit ratings to OCP Euro CLO 2017-2 DAC's class A-R, B-R, C-R, D-R, E-R, and F-R reset notes and class A loan. The issuer also issued an additional EUR5.70 million of subordinated notes at the time of the reset. In total, the issuer has issued EUR52.50 million of subordinated notes. This transaction is a reset of the already existing transaction. The existing classes of notes were fully redeemed with the proceeds from the issuance of the replacement notes on the reset date. The ratings assigned to the reset notes and loan reflect S&P's assessment of: -- The diversified collateral pool, which consists primarily of broadly syndicated speculative-grade senior secured term loans and bonds that are governed by collateral quality tests. -- The credit enhancement provided through the subordination of cash flows, excess spread, and overcollateralization. -- The collateral manager's experienced team, which can affect the performance of the rated notes and loan through collateral selection, ongoing portfolio management, and trading. -- The transaction's legal structure, which is bankruptcy remote. -- The transaction's counterparty risks, which are in line with S&P's counterparty rating framework. Portfolio benchmarks S&P Global Ratings' weighted-average rating factor 2,756.17 Default rate dispersion 619.73 Weighted-average life (years) 3.95 Weighted-average life extended to cover the length of the reinvestment period (years) 4.59 Obligor diversity measure 146.26 Industry diversity measure 22.04 Regional diversity measure 1.29 Transaction key metrics Portfolio weighted-average rating derived from S&P's CDO evaluator B 'CCC' category rated assets (%) 0.25 Actual 'AAA' weighted-average recovery (%) 36.20 Actual weighted-average spread (%) 4.04 Actual weighted-average coupon (%) 3.10 Rating rationale Under the transaction documents, the rated notes and loan will pay quarterly interest unless a frequency switch event occurs. Following this, the notes and loan will switch to semiannual payments. The portfolio's reinvestment period will end approximately 4.6 years after closing, while the non-call period will end 1.5 years after closing. The closing portfolio is well-diversified, primarily comprising broadly syndicated speculative-grade senior secured term loans and senior secured bonds. Therefore, S&P has conducted its credit and cash flow analysis by applying our criteria for corporate cash flow CDOs. S&P said, "In our cash flow analysis, we used the EUR400 million target par amount, the actual weighted-average spread (4.04%), the actual weighted-average coupon (3.10%), and the actual weighted-average recovery rates calculated in line with our CLO criteria for all classes of notes and loan. "We applied various cash flow stress scenarios, using four different default patterns, in conjunction with different interest rate stress scenarios for each liability rating category. "Under our structured finance sovereign risk criteria, the transaction's exposure to country risk is sufficiently mitigated at the assigned ratings." Until the end of the reinvestment period on April 15, 2029, the collateral manager may substitute assets in the portfolio for so long as S&P's CDO Monitor test is maintained or improved in relation to the initial ratings on the notes and loan. This test looks at the total amount of losses that the transaction can sustain as established by the initial cash flows for each rating, and it compares that with the current portfolio's default potential plus par losses to date. As a result, until the end of the reinvestment period, the collateral manager may through trading deteriorate the transaction's current risk profile, as long as the initial ratings are maintained. The transaction's documented counterparty replacement and remedy mechanisms adequately mitigate its exposure to counterparty risk under S&P's current counterparty criteria. The transaction's legal structure and framework are bankruptcy remote, in line with S&P's legal criteria. S&P said, "Our credit and cash flow analysis indicate that the available credit enhancement for the class B-R to F-R notes could withstand stresses commensurate with higher rating levels than those we have assigned. However, as the CLO will be in its reinvestment phase starting from closing, during which the transaction's credit risk profile could deteriorate, we have capped our ratings assigned to the notes and loan. The class A-R notes and A loan can withstand stresses commensurate with the assigned ratings. "Taking the above factors into account and following our analysis of the credit, cash flow, counterparty, operational, and legal risks, we believe that our ratings are commensurate with the available credit enhancement for all the rated classes of notes and loan. "In addition to our standard analysis, to indicate how rising pressures among speculative-grade corporates could affect our ratings on European CLO transactions, we have also included the sensitivity of the ratings on the class A loan and class A-R to E-R notes based on four hypothetical scenarios. "As our ratings analysis makes additional considerations before assigning ratings in the 'CCC' category, and we would assign a 'B-' rating if the criteria for assigning a 'CCC' category rating are not met, we have not included the above scenario analysis results for the class F-R notes." Environmental, social, and governance S&P said, "We regard the exposure to environmental, social, and governance (ESG) credit factors in the transaction as being broadly in line with our benchmark for the sector. Primarily due to the diversity of the assets within CLOs, the exposure to environmental credit factors is viewed as below average, social credit factors are below average, and governance credit factors are average. For this transaction, the documents prohibit (and or for some of these activities there are revenue limits or can't be the primary business activity) assets from being related to certain activities, including, but not limited to, the following: coal mining and/or coal-based power generation, trade of illegal drugs or narcotics, including recreational cannabis, the sale of tobacco products, the production or distribution of antipersonnel landmines, cluster munitions, biological and chemical, radiological and nuclear weapons, non-sustainable palm oil production." Accordingly, since the exclusion of assets from these industries does not result in material differences between the transaction and our ESG benchmark for the sector, no specific adjustments have been made in its rating analysis to account for any ESG-related risks or opportunities. Ratings list AMOUNT CREDIT CLASS RATING* (MIL. EUR) INTEREST RATE (%)§ ENHANCEMENT(%) A-R AAA (sf) 148.00 3mE + 1.30 38.00 A loan AAA (sf) 100.00 3mE + 1.30 38.00 B-R AA (sf) 45.00 3mE + 2.00 26.75 C-R A (sf) 23.00 3mE + 2.40 21.00 D-R BBB- (sf) 28.00 3mE + 3.55 14.00 E-R BB- (sf) 18.00 3mE + 6.67 9.50 F-R B- (sf) 12.00 3mE + 8.71 6.50 Sub NR 52.50 N/A N/A *The ratings assigned to the class A loan and class A-R and B-R notes address timely interest and ultimate principal payments. The ratings assigned to the class C-R, D-R, E-R, and F-R notes address ultimate interest and principal payments. §The payment frequency switches to semiannual and the index switches to six-month EURIBOR when a frequency switch event occurs. NR--Not rated. N/A--Not applicable. 3mE--Three-month Euro Interbank Offered Rate. PALMER SQUARE 2024-2: Fitch Assigns 'BB+sf' Rating on Class E Notes ------------------------------------------------------------------- Fitch Ratings has assigned Palmer Square European Loan Funding 2024-2 DAC notes final ratings. Entity/Debt Rating Prior ----------- ------ ----- Palmer Square European Loan Funding 2024-2 DAC A XS2865669365 LT AAAsf New Rating AAA(EXP)sf B XS2865669522 LT AAsf New Rating AA(EXP)sf C XS2865669878 LT Asf New Rating A(EXP)sf D XS2865670025 LT BBBsf New Rating BBB(EXP)sf E XS2865670371 LT BB+sf New Rating BB+(EXP)sf Subordinated XS2865670538 LT NRsf New Rating NR(EXP)sf Transaction Summary Palmer Square European Loan Funding 2024-2 DAC is an arbitrage cash flow CLO that will be serviced by Palmer Square Europe Capital Management LLC. Net proceeds from the issuance of the notes will be used to purchase a static pool of primarily secured senior loans and bonds, with a target par of EUR625 million. KEY RATING DRIVERS 'B' Portfolio Credit Quality (Neutral): Fitch places the average credit quality of obligors in the 'B' category. The Fitch weighted average rating factor (WARF) of the identified portfolio is 23.6. High Recovery Expectations (Positive): Senior secured obligations and first lien loans will make up around 98% of the portfolio. Fitch views the recovery prospects for these assets as more favourable than for second-lien, unsecured and mezzanine assets. The Fitch weighted average recovery rate of the current portfolio is 63.8%. Diversified Portfolio Composition (Positive): The largest three industries will comprise about 32.4% of the portfolio balance. The top 10 obligors will represent 8.4% of the portfolio balance and the largest five obligors 4.4% of the portfolio. Static Portfolio (Positive): The transaction does not have a reinvestment period and discretionary sales are not permitted. Fitch's analysis is based on the current portfolio and stressed by applying a one-notch reduction to all obligors with a Negative Outlook (floored at 'CCC-'), which is 16.6% of the indicative portfolio. After the adjustment for Negative Outlooks, the WARF of the portfolio would be 24.3. Deviation from MIR: The one-notch deviation from the model-implied ratings (MIR) for the class B, C and D notes reflects the insufficient breakeven default rate cushion on the Negative Outlook portfolio at the MIR, due to the uncertain macro-economic conditions that increase risk. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade A 25% increase of the mean default rate (RDR) across all ratings and a 25% decrease of the recovery rate (RRR) across all ratings of the identified portfolio would lead to downgrades of up to two notches for the notes. Based on the actual portfolio, downgrades may occur if the loss expectation is larger than initially assumed, due to unexpectedly high levels of default and portfolio deterioration. Due to the better WARF of the identified portfolio than the Negative Outlook portfolio and the deviation from the MIR, the class B, C and D notes have a rating cushion of one notch. Should the cushion between the identified portfolio and the Fitch-stressed portfolio erode due to manager trading or negative portfolio credit migration, a 25% increase of the mean RDR across all ratings and a 25% decrease of the RRR all ratings of the stressed portfolio would lead to downgrades of up to three notches for the notes. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade A 25% reduction of the mean RDR across all ratings and a 25% increase in the RRR across all ratings of Fitch's portfolio based on Negative Outlook stress would lead to upgrades of up to four notches for the notes, except for the 'AAA(EXP)sf' rated notes, which are at the highest level on Fitch's scale and cannot be upgraded. Upgrades may occur in case of stable portfolio credit quality and deleveraging, leading to higher credit enhancement and excess spread available to cover for losses on the remaining portfolio. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Palmer Square European Loan Funding 2024-2 DAC Most of the underlying assets or risk-presenting entities have ratings or credit opinions from Fitch and/or other Nationally Recognized Statistical Rating Organizations and/or European Securities and Markets Authority registered rating agencies. Fitch has relied on the practices of the relevant groups within Fitch and/or other rating agencies to assess the asset portfolio information or information on the risk presenting entities. Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied upon for the agency's rating analysis according to its applicable rating methodologies indicates that it is adequately reliable. =================== L U X E M B O U R G =================== SK NEPTUNE: 98% Markdown for Credit Suisse $745,000 Loan -------------------------------------------------------- Credit Suisse Asset Management Income Fund, Inc has marked its $745,000 loan extended to SK Neptune Husky Finance SARL to market at $15,665 or 2% of the outstanding amount, according to Credit Suisse's Form N-CSR for the Semi-Annual on Report June 30, 2024, filed with the Securities and Exchange Commission September 3, 2024. Credit Suisse is a participant in a Bank Loan to SK Neptune Husky Finance SARL. The loan was scheduled to mature on April 30, 2024. Credit Suisse classified the loan as a Non-income. Credit Suisse was incorporated on February 11, 1987 and is registered as a diversified, closed end management investment company under the Investment Company Act of 1940, as amended. Credit Suisse is led by Omar Tariq, Chief Executive Officer and President and Rose Ann Bubloski, Chief Financial Officer and Treasurer. The Fund can be reached through: Omar Tariq Credit Suisse Asset Management Income Fund, Inc Eleven Madison Avenue New York, NY 10010 Telephone: (212) 325-2000 SK Neptune Husky Intermediate IV S.a.r.l. is the parent of Luxembourg-based pigments manufacturer Heubach. SK Neptune Husky Group Sarl has its registered office in Luxembourg. SK NEPTUNE: Credit Suisse Marks $161,000 Loan at 35% Off -------------------------------------------------------- Credit Suisse Asset Management Income Fund, Inc has marked its $161,000 loan extended to SK Neptune Husky Finance SARL to market at $104,966or 65% of the outstanding amount, according to Credit Suisse's Form N-CSR for the Semi-Annual on Report June 30, 2024, filed with the Securities and Exchange Commission September 3, 2024. Credit Suisse is a participant in a Bank Loan to SK Neptune Husky Finance SARL. The loan was scheduled to mature on April 30, 2024. Credit Suisse classified the loan as a Non-income. Credit Suisse was incorporated on February 11, 1987 and is registered as a diversified, closed end management investment company under the Investment Company Act of 1940, as amended. Credit Suisse is led by Omar Tariq, Chief Executive Officer and President and Rose Ann Bubloski, Chief Financial Officer and Treasurer. The Fund can be reached through: Omar Tariq Credit Suisse Asset Management Income Fund, Inc Eleven Madison Avenue New York, NY 10010 Telephone: (212) 325-2000 SK Neptune Husky Intermediate IV S.a.r.l. is the parent of Luxembourg-based pigments manufacturer Heubach. SK Neptune Husky Group Sarl has its registered office in Luxembourg. =========================== U N I T E D K I N G D O M =========================== 11052310 REALISATIONS: Voscap Limited Named as Administrators ------------------------------------------------------------- 11052310 Realisations Ltd was placed into administration proceedings in the High Court of Justice, Business and Property Courts of England and Wales, Insolvency and Companies List, Court Number: CR-2024-05058, and Ian Lawrence Goodhew and Abigail Shearing of Voscap Limited were appointed as administrators on Sept. 2, 2024. 11052310 Realisations, f/k/a Invenics Ltd, provides IT services. Its registered office is at One Canada Square, Level 9, London, England, E14 5AA to be changed to 67 Grosvenor Street, Mayfair, London, W1K 3JN. Its principal trading address is at One Canada Square, Level 9, London, England, E14 5AA. The administrators can be reached at: Ian Lawrence Goodhew Abigail Shearing Voscap Limited 67 Grosvenor Street Mayfair, London W1K 3JN For further details, contact: E-mail: invenics@voscap.co.uk Tel No: 0207 769 6831 BLAKESLEY ESTATES: Kroll Advisory Named as Administrators --------------------------------------------------------- Blakesley Estates (Hayle CT) Ltd was placed in administration proceedings in the High Court of Justice Business and Property Courts of England and Wales, Insolvency & Companies List (ChD), Court Number: CR-2024-005250; and Mark Blackman and Benjamin John Wiles both of Kroll Advisory Ltd were appointed as administrators on Sept. 10, 2024. Blakesley Estates specialized in the development of building projects. Its registered office is at Monmouth House, 3 Purzebrook Close, Axminster, EX13 5LL. Its principal trading address is at Coppyhouse, Hayle, Cornwall, TR27 4DZ. The administrators can be reached at: Mark Blackman Benjamin John Wiles Kroll Advisory Ltd The Chancery, 58 Spring Gardens Manchester, M2 1EW For further information, contact: George Reeves E-mail: George.Reeves@kroll.com Tel No: +44(0)-161-8279036 BRACCAN MORTGAGE 2024-1: S&P Assigns BB(sf) Rating on Cl. X Notes ----------------------------------------------------------------- S&P Global Ratings assigned ratings to Braccan Mortgage Funding 2024-1 PLC's (Braccan 2024-1) class A, B, C-Dfrd, D-Dfrd, and X-Dfrd notes. Braccan 2024-1 is an RMBS transaction that securitizes a portfolio of buy-to-let (BTL) and owner-occupied mortgage loans secured on properties in the U.K. The loans in the pool were originated between 2015 and 2024, with most originated in 2024, by Paratus AMC Ltd., a nonbank specialist lender. The loans were originated under the Foundation Home Loans (FHL) brand. The collateral comprises first-lien U.K. BTL residential mortgage loans (70.3%), and owner-occupied mortgages (29.7%) advanced to complex income borrowers with limited credit impairments. There is high exposure to self-employed borrowers and first-time buyers within the owner-occupied proportion of the pool. At closing, the issuer used the issuance proceeds to purchase the full beneficial interest in the mortgage loans from the seller. The issuer granted security over all its assets in favor of the security trustee. There are no rating constraints in the transaction under S&P's counterparty, operational risk, or structured finance sovereign risk criteria. It considers the issuer to be bankruptcy remote. Ratings CLASS RATING* AMOUNT (MIL. GBP) A AAA (sf) 492.250 B A (sf) 31.625 C-Dfrd A (sf) 16. 500 D-Dfrd BBB+ (sf) 9.625 X-Dfrd BB (sf) 13.75 Z NR 2.75 RC1 Residual Certs NR N/A RC2 Residual Certs NR N/A *S&P's ratings address timely receipt of interest and ultimate repayment of principal on the class A and B notes, and the ultimate payment of interest and principal on all the other rated notes. Its ratings also address timely receipt of interest and full immediate repayment of all previously deferred interest on the class C–Dfrd, D-Dfrd, and X-Dfrd notes when they become the most senior outstanding. NR--Not rated. N/A--Not applicable. BROADREACH RECRUITMENT: Milsted Named as Joint Administrators ------------------------------------------------------------- Broadreach Recruitment Limited was placed into administration proceedings in the High Court of Justice Business and Property Courts in Bristol, Insolvency and Companies list, No CR-2024-005097, and Richard Warwick and Rachel Hotham of Milsted Langdon LLP were appointed as joint administrators on Sept. 6, 2024. Broadreach Recruitment provides temporary and permanent recruitment services. Its registered office is at Priory House, Friar Street, Droitwich, Worcestershire, WR9 8ED. Its principal trading address is at Verulam House, Cropmead, Crewkerne, Somerset, TA18 7HQ. The joint administrators can be reached at: Richard Warwick Rachel Hotham Milsted Langdon LLP Winchester House Deane Gate Avenue Taunton, TA1 2UH For further details, contact: Jason Bevan E-mail: JBevan@milstedlangdon.co.uk Tel No: 01823 445566 CTS TRANSPORT: Forvis Mazars Named as Administrators ---------------------------------------------------- CTS Transport Group Ltd was placed into administration proceedings in the High Court of Justice, Business and Insolvency Courts in Birmingham, Court Number: CR-2024-BHM-000534, and Rebecca Jane Dacre and Mark Siddall of Forvis Mazars LLP were appointed as administrators on Sept. 3, 2024. CTS Transport, previously known as Core Transport Limited, offers freight transport by road. Its registered office is at Forvis Mazars LLP, The Pinnacle, 160 Midsummer Boulevard, Milton Keynes, MK9 1FF. Its principal trading address is at Sudborough Road, Brigstock, Kettering, NN14 3HT. The administrators can be reached at: Rebecca Jane Dacre Mark Siddall Forvis Mazars LLP The Pinnacle 160 Midsummer Boulevard Milton Keynes, MK9 1FF For further details, contact: Joint Administrators Tel No: 0121 232 9603 Alternative contact: Lottie Atkins E-mail: Lottie.Atkins@mazars.co.uk DEV VYAS: FRP Advisory Named as Administrators ---------------------------------------------- Dev Vyas Limited was placed into administration proceedings in the Business and Property Courts in Birmingham, Insolvency and Companies List, Court Number: CR-2024-BHM-000542, and Nathan Jones and John Anthony Lowe of FRP Advisory Trading Limited were appointed as administrators on Sept. 5, 2024. Dev Vyas Limited is a food & distribution company supplying to around the world and European ethnic wholesale, retail. Its registered office is at 34 Queensbury Station Parade, Edgware, England, HAS 5NN to be changed to C/o FRP Advisory, Ashcroft House, Ervington Court, Meridian Business Park, Leicester, LE19 1WL. Its principal trading address is at Vyas House, Armstrong Road, Basingstoke, Hampshire, RG24 8NU. The administrators can be reached at: Nathan Jones John Anthony Lowe FRP Advisory Trading Limited Ashcroft House, Ervington Court Meridian Business Park, Leicester LE19 1WL For further details, contact: The Joint Administrators Tel No: 0116 303 3337 Alternative contact: Shivraj Raja E-mail: cp.leicester@frpadvisory.com EUROSAIL 2006-1: Fitch Lowers Rating on Class E Notes to 'B-sf' --------------------------------------------------------------- Fitch Ratings has downgraded Eurosail 2006-1 Plc's (ES06-1) class E notes to 'B-sf' from 'BB-sf' and revised Outlook for ES06-1 class D1a and D1c notes to Negative from Stable. Fitch has also revised the Outlook on Eurosail 2006-3 NC Plc's (ES06-3) class D1a, D1c and E notes to Negative from Stable. All other notes in both transactions have been affirmed. Entity/Debt Rating Prior ----------- ------ ----- Eurosail 2006-1 Plc Class B1a 29880BAG4 LT AAAsf Affirmed AAAsf Class B1c 29880BAJ8 LT AAAsf Affirmed AAAsf Class C1a 29880BAK5 LT AAAsf Affirmed AAAsf Class C1c 29880BAM1 LT AAAsf Affirmed AAAsf Class D1a 29880BAN9 LT Asf Affirmed Asf Class D1c 29880BAQ2 LT Asf Affirmed Asf Class E XS0253576630 LT B-sf Downgrade BB-sf Eurosail 2006-3 NC Plc B1a 298807AJ7 LT AAAsf Affirmed AAAsf C1a 298807AM0 LT AAAsf Affirmed AAAsf C1c 298807AP3 LT AAAsf Affirmed AAAsf D1a 298807AQ1 LT Asf Affirmed Asf D1c 298807AS7 LT Asf Affirmed Asf E1c XS0271947375 LT B-sf Affirmed B-sf Transaction Summary The transactions comprise UK non-conforming owner-occupied and buy-to-let (BTL) mortgage loans originated by Southern Pacific Mortgages Limited and Southern Pacific Personal Loans Limited (formerly wholly owned subsidiaries of Lehman Brothers). KEY RATING DRIVERS High Senior Fees: High senior fee expenses have been incurred by both transactions since the Libor transition. They remain higher than the GBP225,000 fixed fee assumption Fitch expected them converge to. Fitch has therefore revised its senior cost assumption to GBP400,000 for both transactions. This has driven the revision of the Rating Outlook on ES06-1's class D notes to Negative and supported the downgrade of class E notes to 'B-sf'. This has also driven the revision of ES06-3's class D and E notes Outlook to Negative. Deteriorating Asset Performance: The proportion of loans in arrears have increased in both transactions since the previous review. ES06-1's total arrears have increased to 29.8% from 25.1%. ES06-3's total arrears have increased to 40.2% from 33.2%. This increase in arrears resulted in a higher weighted average foreclosure frequency (WAFF), which also contributed to the downgrade of ES06-1's class E notes. Fitch expects asset performance to remain under pressure due to interest rates remaining high, which may lead to lower model-implied ratings in future model updates. This has contributed to the revision of the Outlook to Negative for the class D notes in both transactions and class E in ES06-3. Increased CE: Credit enhancement (CE) has increased in both transactions for senior notes' classes as they continue to sequentially amortise. This supports the affirmation of these notes, despite the worsening asset performance. The level of protection for these notes is significant, so they are less exposed to performance deterioration than more junior notes. PAF Unchanged: The performance adjustment factor (PAF) for both transactions was floored at the previous review's levels so that the 'Bsf' WAFF more accurately reflected Fitch's default expectations for the pool at that rating. For ES06-1, this resulted in applied PAFs of 120% and 200% for the owner-occupied (OO) and buy-to-let (BTL) sub-pools, while for ES06-3 the PAFs applied were 100% for the OO and 114% for the BTL sub-pools. The growth in arrears for these transactions since last review plus a stable constant default rate resulted in a lower PAF for each transaction, leading to volatility in the WAFFs derived for the OO and BTL sub-pools for both transactions. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade The transactions' performance may be affected by adverse changes in market conditions and the economic environment. Weakening economic performance is strongly correlated to increasing levels of delinquencies and defaults and could reduce the CE available to the notes. Fitch conducted sensitivity analyses by stressing each transaction's base case WAFF and WARR assumptions, and by examining the rating implications for all notes. A 15% increase in the WAFF and a 15% decrease in the WARR could lead to downgrades of five notches for ES06-1's class D1a and D1c notes, a two-notch downgrade for ES06-3's class C1a and C1c notes and a four-notch downgrade for ES06-3's class D1a and D1c notes. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Stable to improved asset performance driven by stable delinquencies and defaults would lead to increasing CE and potential upgrades. Fitch tested an additional rating sensitivity scenario by applying a decrease in the WAFF of 15% and an increase in the WARR of 15%. The results indicate upgrades of four notches for ES06-1's class D1a and D1c notes, and three notches for ES06-3's class D1a and D1c notes. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Eurosail 2006-1 Plc, Eurosail 2006-3 NC Plc Fitch has checked the consistency and plausibility of the information it has received about the performance of the asset pools and the transactions. Fitch has not reviewed the results of any third-party assessment of the asset portfolio information or conducted a review of origination files as part of its ongoing monitoring. Fitch did not undertake a review of the information provided about the underlying asset pool[s] ahead of the transaction's Eurosail 2006-1 Plc, Eurosail 2006-3 NC Plc initial closing. The subsequent performance of the transactions over the years is consistent with the agency's expectations given the operating environment and Fitch is therefore satisfied that the asset pool information relied upon for its initial rating analysis was adequately reliable. Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied on for the agency's rating analysis according to its applicable rating methodologies indicates that it is adequately reliable. ESG Considerations ES06-1 and ES06-3 have ESG Relevance Scores of '4' for Customer Welfare - Fair Messaging, Privacy & Data Security due to the pools having an interest-only maturity concentration of legacy non-conforming owner-occupied loans of greater than 20%, which has a negative impact on the credit profile, and is relevant to the ratings in conjunction with other factors. ES06-1 and ES06-3 have ESG Relevance Scores of '4' for Human Rights, Community Relations, Access & Affordability due to a significant proportion of the pools containing owner-occupied loans advanced with limited affordability checks, which has a negative impact on the credit profile, and is relevant to the ratings in conjunction with other factors. The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. GALLANT ENGINEERING: PKF Smith Named as Joint Administrators ------------------------------------------------------------ Gallant Engineering Limited, trading as EPC, was placed in administration proceedings in the High Court of Justice, Business and Properties Courts, Court Number: CR-5116 of 2024; and Dean Anthony Nelson and Nicholas Charles Osborn Lee of PKF Smith Cooper were appointed as joint administrators on Sept. 5, 2024. Gallant Engineering is a manufacturer of fabricated metal products. Its registered office and principal trading address is at Unit 3 The Willows, Ransom Woods Business Park, Mansfield, NG21 0HJ. The joint administrators can be reached at: Dean Anthony Nelson Smith Cooper Prospect House, 1 Prospect Place Pride Park, Derby DE24 8HG Tel No: 01332 332021 -- and -- Nicholas Charles Osborn Lee PKF Smith Cooper 158 Edmund Street Birmingham, B3 2HB Tel No: 0121 236 6789 For further information, contact: Kieran Marshall Smith Cooper Prospect House, 1 Prospect Place Pride Park, Derby, DE24 8HG Tel No: 01332 332021 E-mail: kieran.marshall@pkfsmithcooper.com GOAL GLOBAL: Opus Restructuring Named as Administrators ------------------------------------------------------- Goal Global Recoveries Limited, trading as Goal, was placed into administration proceedings in the High Court of Justice, Court Number: CR-2024-004774, and Allister Manson and Charles Hamilton Turner of Opus Restructuring LLP were appointed as administrators on Sept. 4, 2024. Goal Global, f/k/a Magenta One Global Limited, provides full service legal advice. Its registered office and principal trading address is at 9 Perseverance Works, Kingsland Road, London, E2 8DD. The administrators can be reached at: Allister Manson Charles Hamilton Turner Opus Restructuring LLP 322 High Holborn, London WC1V 7PB For further details, contact: Theo Skipper E-mail: theo.skipper@opusllp.com Tel No: 01908 752 944 GOAL GROUP: Opus Restructuring Named as Administrators ------------------------------------------------------ Goal Group Limited, trading as Goal, was placed into administration proceedings in the High Court of Justice, Court Number: CR-2024-004775, and Allister Manson and Trevor John Binyon of Opus Restructuring LLP were appointed as administrators on Sept. 4, 2024. Goal Group Limited, previously known as Global Operations & Administration Limited, provides management consulting services. Its registered office and principal trading office address is at 9 Perseverance Works, Kingsland Road, London, E2 8DD. The administrators can be reached at: Allister Manson Trevor John Binyon Opus Restructuring LLP 322 High Holborn, London WC1V 7PB For further details, contact: Theo Skipper E-mail: theo.skipper@opusllp.com Tel No: 01908 752 944 GOAL TAXBACK: Opus Restructuring Named as Administrators -------------------------------------------------------- Goal Taxback Limited, trading as Goal, was placed into administration proceedings in the High Court of Justice, Court Number: CR-2024-004778, and Allister Manson and Charles Hamilton Turner of Opus Restructuring LLP were appointed as administrators on Sept. 4, 2024. Goal Taxback provides data processing and hosting services. Its registered office and principal trading address is at 9 Perseverance Works, Kingsland Road, London, E2 8DD. The administrators can be reached at: Allister Manson Charles Hamilton Turner Opus Restructuring LLP 322 High Holborn, London WC1V 7PB For further details, contact: Theo Skipper E-mail: theo.skipper@opusllp.com Tel No: 01908 752 944 HAMILTON ADHESIVE: Leonard Curtis Named as Administrators --------------------------------------------------------- Hamilton Adhesive Labels Limited, trading as Hamilton Adhesive Labels, was placed into administration proceedings in the High Court of Justice Business and Property Courts of England and Wales, Court Number: CR-2024-004968, and Rochelle Schofield and Mike Dillon of Leonard Curtis were appointed as administrators on Sept. 3, 2024. Hamilton Adhesive is one of UK's independent converters of multicolour printed and plain self adhesive labels. Its registered office and principal trading address is at Unit B Interlink Way South, Bardon Hill Business Park, Bardon Hill, Leicestershire, LE67 1PG. The administrators can be reached at: Rochelle Schofield Mike Dillon Leonard Curtis Riverside House Irwell Street Manchester, M3 5EN For further details, contact: The Joint Administrators Tel No: 0161 831 9999 Email: recovery@leonardcurtis.co.uk. Alternative contact: Nicola Carlton HERBAL ESSENTIALS: Hudson Weir Named as Administrators ------------------------------------------------------ Herbal Essentials UK Limited has been placed into administration proceedings in the High Court of Justice Business And Property Courts Of England And Wales, Insolvency And Companies List (ChD), Court Number: CR-2024-005106, and Nimish Patel and Hasib Howlader of Hudson Weir Limited were appointed as administrators on Sept. 6, 2024. Herbal Essentials specialized in wholesale of perfume and cosmetics. Its registered office and principal trading address is at The Shepherds Building Charecroft Way, Office 618, London, England, W14 0EE. The administrators can be reached at: Nimish Patel Hasib Howlader Hudson Weir Limited 58 Leman Street London, E1 8EU For further details, contact: Neha Patel E-mail: neha@hudsonweir.co.uk Tel No: 02070996086 INTECHNOLOGY PLC: DFW Associates to Lead Administration Proceedings ------------------------------------------------------------------- Intechnology Plc was placed into administration proceedings in the High Court of Justice Business and Property Courts in Leeds Court Number: CR-2024-LDS-000880, and David Frederick Wilson of DFW Associates was appointed as administrator on Sept. 6, 2024. Intechnology Plc provides information technology consultancy services. Its registered office and principal trading address is Cardale House Cardale Court, Beckwith Head Road, Harrogate, North Yorkshire, HG3 1RY. The administrator can be reached at: David Frederick Wilson DFW Associates 29 Park Square West, Leeds LS1 2PQ For further details, contact: E-mail: info@dfwassociates.co.uk Tel No: 0113 390 7940 Alternative Contact: Chris Wilson INTERNATIONAL DECORATIVE: FRP Advisory Named as Administrators -------------------------------------------------------------- International Decorative Surfaces Limited was placed into administration proceedings in the High Court of Justice, Court Number: CR-2024-005116, and Alastair Rex Massey and Anthony Wright of FRP Advisory Trading Limited were appointed as administrators on Sept. 9, 2024. International Decorative is a distributor of decorative surfaces. Its registered office is at Parkhouse Interchange, Parkhouse Ind. Est, Newcastle-Under-Lyme ST5 7FB to be changed to 2nd Floor, 110 Cannon Street, London, EC4N 6EU. Its principal trading address is at Parkhouse Interchange, Parkhouse Ind. Est, Newcastle-Under-Lyme ST5 7FB. The administrators can be reached at: Alastair Rex Massey Anthony Wright FRP Advisory Trading Limited 110 Cannon Street, London EC4N 6EU For further information, contact: The Joint Administrators Tel No: 020 3005 4000 Alternative contact: Lawrence Cormack E-mail: lawrence.cormack@frpadvisory.com KYUK 2024: Opus Restructuring Named as Administrators ----------------------------------------------------- Kyuk 2024 Limited was placed in administration proceedings in the High Court of Justice, Court Number: CR-2024-005155; and Colin David Wilson and Trevor John Binyon of Opus Restructuring LLP were appointed as administrators on Sept. 4, 2024. Kyuk 2024, trading as Kanada-Ya, provides food services. Its registered office and principal trading address is at The Barn, London House, London Road, Allostock, Knutsford, Cheshire, WA16 9LL. The administrators can be reached at: Colin David Wilson Opus Restructuring LLP 1 Radian Court, Knowlhill Milton Keynes, MK5 8PJ -- and -- Trevor John Binyon Opus Restructuring LLP 322 High Holborn, London WC1V 7PB For further details, contact: The Joint Administrators E-mail: mark.percival@opusllp.com Further details, contact: Mark Percival E-mail: mark.percival@opusllp.com L.E. WENT: Expedium Limited to Lead Administration Proceedings -------------------------------------------------------------- L.E. Went Limited was placed into administration proceedings the High Court of Justice, Court Number: CR-2024-004989, and Alan Simon of Expedium Limited was appointed as administrator on Sept. 4, 2024. L.E. Went is a family-run independent distributor of automotive, industrial and wood finishing products in the South East of England. Its registered office is at 56 Burlington Road, New Malden, Surrey, KT3 4NU in the process of being changed to, c/o Expedium Limited, Gable House, 239 Regents Park Road, London, N3 3LF. Its principal trading address is at 56 Burlington Road, New Malden, Surrey, KT3 4NU. The administrator can be reached at: Alan Simon Expedium Limited Gable House 239 Regents Park Road London, N3 3LF E-mail: as@expedium.co.uk Tel. No: 020 4570 7076. For further information, contact: Aaron Graft Expedium Limited Gable House 239 Regents Park Road London, N3 3LF E-mail: aaron@expedium.co.uk Tel No: 020 4570 7076 PRAESIDIAD LTD: EUR290MM Bank Debt Trades at 40% Discount --------------------------------------------------------- Participations in a syndicated loan under which Praesidiad Ltd is a borrower were trading in the secondary market around 59.7 cents-on-the-dollar during the week ended Friday, Sept. 13, 2024, according to Bloomberg's Evaluated Pricing service data. The EUR290 million Term loan facility is scheduled to mature on October 4, 2024. The amount is fully drawn and outstanding. Praesidiad Limited provides security products and solutions. The Company offers force protection solutions, perimeter security systems, industrial mesh, and fencing products that defend and protect military, commercial, and domestic end-users. The Company's country of domicile is the United Kingdom. SALTIRE MOTORCYCLES: Johnston Carmichael Named as Administrators ---------------------------------------------------------------- Saltire Motorcycles Ltd was placed into administration proceedings in the High Court of Justice, Court Number: CR-2024-005165, and Graeme Bain and Donald McNaught of Johnston Carmichael LLP were appointed as administrators on Sept. 5, 2024. Saltire Motorcycles specializes in the sale, maintenance and repair of motorcycles and related parts and accessories. Its registered office is at Westgate House, Faverdale Industrial Estate, Darlington, DL3 0PZ. Its principal trading address is at 553B Gorgie Rd, Edinburgh EH11 3XX. The administrators can be reached at: Graeme Bain Donald McNaught Johnston Carmichael LLP 227 West George Street Glasgow, G2 2ND For further details, contact: Callum Grant E-mail: callum.grant@jcca.co.uk Tel No: 0141 222 5800 SOLUTION RECRUITMENT: Verulam Advisory Named as Administrators -------------------------------------------------------------- Solution Recruitment Limited, trading as Solution, was placed into administration proceedings in the High Court of Justice, Business and Property Court in Manchester, Company and Insolvency List, Court Number: CR-2024-MAN-001078, and William Turner and Peter Nicholas Wastell of Verulam Advisory were appointed as administrators on Sept. 2, 2024. Solution Recruitment is an employment placement agency. Its registered office is at Solution House, 47 Dane Street, Bishops Stortford, Hertfordshire CM23 3BT. Its principal trading address is at Suite 45, Weston Homes Business Centres, Takeley, Essex CM22 6PU. The administrators can be reached at: William Turner Peter Nicholas Wastell Verulam Advisory Second Floor, The Annexe New Barnes Mill, Cottonmill Lane St Albans, AL1 2HA For further details, contact: The Joint Administrators E-mail: info@verulamadvisory.co.uk Tel: 01727 701 788 Alternative contact: James Gibney STRABENS HALL: Begbies Traynor Named as Administrators ------------------------------------------------------ Strabens Hall Limited was placed in administration proceedings in the High Court of Justice Business and Property Courts in Manchester, Court Number: CR-2024-MAN-001164; and Gary Paul Shankland and Robert Andrew Ferne of Begbies Traynor were appointed as joint administrators on Sept 10, 2024. Strabens Hall specialized in financial intermediation. Its registered office is at 5 - 9 Eden Street, Kingston Upon Thames, KT1 1BQ The administrators can be reached at: Gary Paul Shankland Robert Andrew Ferne Begbies Traynor (London) LLP 31st Floor, 40 Bank Street London, E14 5NR For further information, contact: Boyd Yeun Begbies Traynor E-mail: boyd.yeung@btguk.com Tel No: 020 7516 1500 TINIZINE LIMITED: Opus Restructuring Named as Administrators ------------------------------------------------------------ Tinizine Limited was placed into administration proceedings in the High Court of Justice, Business & Property Courts of England & Wales, Court Number: CR-2024-004292, and Allister Manson and Frank Ofonagoro of Opus Restructuring LLP were appointed as administrators on Aug. 23, 2024. Tinizine Limited operates in the web portals sector. Its registered office is at c/o Opus Restructuring LLP, 1 Radian Court, Knowlhill, Milton Keynes, MK5 8PJ. Its principal trading address is at 111 Charterhouse St, London EC1M 6AW. The administrators can be reached at: Allister Manson Opus Restructuring LLP 322 High Holborn, London WC1V 7PB -- and – Frank Ofonagoro Opus Restructuring LLP 2nd Floor, 3 Hardman Square Spinningfields, Manchester M3 3EB For further details, contact: The Joint Administrators E-mail: natalie.crick@opusllp.com Tel No: 0151 459 3406 TRENT CIVILS: Leonard Curtis Named as Administrators ---------------------------------------------------- Trent Civils UK Limited was placed in administration proceedings in the High Court of Justice Business and Property Courts in Manchester, Insolvency & Companies List (ChD), Court Number: CR-2024-MAN-000980; and Richard Pinder and Sean Williams of Leonard Curtis were appointed as administrators on Sept 5, 2024. Trent Civils specialized in the construction of commercial buildings. Its registered office is at 21 Gander Lane, Barlborough, Chesterfield S43 4PZ. Its principal trading address is at 94-96 Oswald Road, Scunthorpe, DN15 7PA. The administrators can be reached at: Richard Pinder Leonard Curtis 21 Gander Lane, Barlborough Chesterfield, S43 4PZ -- and -- Sean Williams Leonard Curtis, 9th Floor 7 Park Row, Leeds, LS1 5HD For further information, contact: The Joint Administrators E-mail: recovery@leonardcurtis.co.uk Tel No: 01246-385-775 Alternative contact: Jefferson Da Costa ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Europe is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Marites O. Claro, Rousel Elaine T. Fernandez, Joy A. Agravante, Julie Anne L. Toledo, Ivy B. Magdadaro, and Peter A. Chapman, Editors. Copyright 2024. All rights reserved. ISSN 1529-2754. 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