/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/250228.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 Friday, February 28, 2025, Vol. 26, No. 43 Headlines F R A N C E GRANITE FRANCE: S&P Lowers ICR to 'B-', Outlook Stable G E R M A N Y TK ELEVATOR: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable I R E L A N D DRYDEN 29 EURO 2013: S&P Assigns 'B-' Rating on Class F-R Notes PEMBROKE PROPERTY 3: S&P Assigns B(sf) Rating on Class F Notes L U X E M B O U R G ALTISOURCE PORTFOLIO: Davis Polk Advised Term Loan Lenders N O R W A Y HURTIGRUTEN NEWCO: S&P Downgrades LongTerm ICR to 'D' U N I T E D K I N G D O M H.A.C. PIPELINE: RSM UK Named as Administrators HOOD PROPERTY: BDO LLP Named as Administrators JAMIESONS DRY: KBL Advisory Named as Administrators KEIGHLEY FURNITURE: FRP Advisory Named as Administrators MEDICAL PIPED: RSM UK Named as Administrators RIPON MORTGAGES: S&P Assigns Prelim. B-(sf) Rating on Cl. X Notes THAMES WATER: S&P Downgrades Class A Debt Rating to 'D' TRITIUM TECHNOLOGIES: Alvarez & Marsal Named as Administrators X X X X X X X X [] BOOK REVIEW: The First Junk Bond - - - - - =========== F R A N C E =========== GRANITE FRANCE: S&P Lowers ICR to 'B-', Outlook Stable ------------------------------------------------------ S&P Global Ratings lowered its ratings on Granite France Bidco SAS (Inetum) and its term loan B (TLB) to 'B-' from 'B'. S&P said, "We also revised our recovery assessment to 3(50%), from 3(55%), to reflect the updated consolidation scope that excludes EBITDA contribution and assets from Publica (Inetum's software division sold to its parent Lux Co-Invest) and to reflect a EUR200 million redemption on the TLB. "The stable outlook reflects our view that Inetum will deleverage to 8.6x in 2025 and generate positive S&P Global Ratings-adjusted free operating cash flow (FOCF) after leases of about EUR55 million, as one-off costs shrink and assuming some recovery in the French market, supporting a robust liquidity profile." Inetum's leverage failed to reduce in 2024 due to substantially weaker domestic revenues than anticipated, only partly offset by cost management efforts and mid-single digit growth in Iberian markets. The political and macroeconomic context in France, with government budget and fiscal policy uncertainty, led to a significant slowdown in IT spending in France, Inetum's biggest market, This heavily impacted the company, despite its diversification in Iberia and Latin America (around 40% of group revenue) and workforce reduction. S&P therefore expects pro forma leverage to remain stable at 10.9x in 2024. S&P said, "We expect deleveraging will gain traction in 2025-2026 as one-off costs shrink and assuming some recovery in the French market. However, leverage will remain significantly above our threshold for a 'B' rating in 2025 and the extent of further deleveraging in 2026 is uncertain. We expect revenue to grow organically at 2% in 2025 and 3% in 2026 on continued growth in Iberia and Latin America, and as the French market recovers, assuming the political and economic uncertainty fades. We understand that the company's transformation efforts are approaching completion, leading to a reduction in restructuring and nonrecurring expenses in 2025-2026, while the benefits of previously incurred expenses will increase cost efficiency. We therefore expect the S&P Global Ratings-adjusted EBITDA margin to improve to 6.4%-6.7% in 2025-2026, from our expectation of 5.4% in 2024 pro forma the Publica sale. We anticipate leverage falling to 8.6x in 2025 and possibly to below 7.5x in 2026 although this remains difficult to forecast because of the sensitivity of Inetum's leverage to even modest margin shifts and the fog around domestic market developments." The sale of Publica, a legacy software segment, aligns with Inetum's strategic transformation, but will reduce slightly the profitability and predictability of Inetum's activities. Inetum started to implement a transformation program two years ago to make its offering more comprehensive by reorganizing business segments and exiting a few less profitable geographies. The recent divestiture of its software division, Publica, to Inetum's parent Lux Co-invest aligns with Inetum's broader strategic realignment toward its core capabilities and the aim to prioritize its solutions division. Publica represented 6% of revenue in the first nine months of 2024, but enjoyed a (management) EBITDA margin 3x higher than the rest of the group. S&P said, "As a consequence, we expect Inetum's share of recurring revenue to decrease to about 40%, from about 43% including the software-as-a-service revenue contribution, and the company will no longer own proprietary solutions, which in our view, is slightly credit negative." Downside seems remote as this stage thanks to medium-term maturities and positive, albeit weak, S&P Global Ratings-adjusted free operating cash flow after leases. The vast majority of Inetum's capital structure will mature in 2028 when the EUR898 million TLB and EUR200 million undrawn revolving credit facility (RCF) are due. S&P said, "In addition, we expect that Inetum's FOCF after leases will remain positive in 2024-2026, supporting a robust liquidity buffer in the next 12 months. We acknowledge the company’s metrics could materially benefit if Lux Co-Invest redeems the EUR203 million vendor owed to Inetum. The latter is part of the consideration received for the sale of Publica, in addition to the EUR210 million cash proceeds utilized to repay part of the TLB. However, we don't factor this asset into our ratios on Inetum given the long-dated maturity and uncertainty around any redemption and use of the corresponding proceeds." S&P said, "The stable outlook reflects our view that Inetum will deleverage to 8.6x in 2025 and generate positive S&P Global Ratings-adjusted FOCF after leases of about EUR55 million, supporting a robust liquidity profile without significant maturities before 2028. "We could lower the ratings if Inetum fails to deleverage or if S&P Global Ratings-adjusted FOCF after leases turns negative, leading to liquidity pressures or a potentially unsustainable capital structure. In our view, this could result from weaker operating performance due to increased competition, a slower recovery in France than we currently expect, or material continued restructuring and nonrecurring expenses. "We could raise the ratings if adjusted leverage decreases sustainably below 7.5x and FOCF after leases is at least breakeven. In our view, this could result from a faster market recovery than we currently expect in France, along with continued healthy performance Iberia, and a faster execution of Inetum's transformation plan leading to significantly lower restructuring and nonrecurring expenses." This would also hinge upon the credit profile of Lux Co-Invest, the parent of Granite France Bidco (Inetum), and of the spun-off asset Publica, remaining in line with the stand-alone credit quality of Inetum. ============= G E R M A N Y ============= TK ELEVATOR: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable ----------------------------------------------------------------- S&P Global Ratings affirmed its 'B' long-term issuer credit rating on Germany-based TK Elevator Topco GmbH. Consequently, S&P affirmed its 'B' issue rating on the senior secured debt. The recovery rating on the senior secured debt remains at '3'. After the transaction closes, S&P will withdraw its ratings on the senior unsecured debt since it will be fully eliminated from the capital structure. TK Elevator's) holding company, proposes to reprice its dollar and euro-denominated first-lien term loan Bs (TLBs) equivalent to EUR3.826 billion, and extend the maturity of its euro-denominated EUR1.265 billion TLB and revolving credit facility (RCF) to April 2030. Additionally, TK Elevator will raise an incremental EUR971 million term loan tranche to repay its private dollar- and euro-denominated senior unsecured notes equivalent to EUR971 million. The transaction is leverage neutral and will likely provide some interest expense savings. S&P said, "The stable outlook reflects our expectation that TK Elevator will continue to improve its operating performance over the next 12-18 months by executing its efficiency measures and revenue expansion, improving its S&P Global Ratings-adjusted EBITDA margin above 14%, and reducing leverage below 7.5x (excluding the payment-in-kind [PIK] notes) in fiscal 2025. We also incorporate our expectation of increased free operating cash flow (FOCF) generation of more than EUR200 million and a funds from operations (FFO) cash interest coverage ratio above 2.0x by the end of fiscal 2025 (Sept. 30, 2025)." The proposed transaction is broadly leverage-neutral but, as a positive, reduces the amount of higher interest junior debt. TK Elevator Topco GmbH, TK Elevator's holding company, proposes to: -- Reprice its dollar and euro-denominated first-lien TLB equivalent to EUR3.826 billion; -- Extend the maturity of its euro-denominated EUR1.265 billion TLB to April 2030; -- Raise an additional EUR971 million term loan tranche and use these funds to repay its existing senior unsecured notes S&P said, "The proposed transaction will have an overall neutral effect on TK Elevator's leverage. We think that the company will refinance its more expensive debt and achieve some interest savings annually. We forecast S&P Global Ratings-adjusted debt to EBITDA (excluding PIKs) of less than 7.5x in 2025, and about 6.5x in fiscal 2026, down from about 7.7x in 2024. FFO cash interest will stand at approximately 1.7x-2.0x in 2025." Despite persisting weakness in the new installations market, TK Elevator's emphasis on service and modernization, as well as success of its EOX program will enable profitable business expansion. The first quarter of 2025 showed ongoing stagnant new installation orders. Order intake in new installations was down by 8%, mainly driven by a weak residential construction market in China. Some regions were immune to this decline, with high new installation activity remaining strong in southern Europe, the Americas, and Asia (excluding China). It is important to note that modernization and services market remains robust across all regions, fully offseting the decline in new installations. Moreover, an aging installed base in China presents opportunities for accelerated modernization growth in the region. Another important factor for future sustained volumes is the doubling order intake for EOX units in the first quarter of 2025. The ramp-up of EOX production and installations should support more profitable new installation volumes and help penetrate the low- and mid-rise building segment margins. S&P said, "In terms of sales, we anticipate a slight acceleration in growth of about 2.0%-4.0%, exceeding EUR9.5 billion for fiscal 2025, with similar growth expected in fiscal 2026. For fiscal 2025, we project TK Elevator will achieve an S&P Global Ratings-adjusted EBITDA margin of about 13.8%-14.3%, an increase from 13.4% in 2024. This improvement is driven by the expansion of businesses with stronger margin profiles. New installations, representing approximately 35% of revenue, exhibits greater volatility and lower margins compared to the modernization and services segments, which contribute about 65% of total revenue. Substantial order intake within the modernization segment has significantly enhanced the order backlog, improving overall margin development. Strategic initiatives, including the reduction of legacy overhead costs, improvements in procurement processes, and enhanced technical service capabilities have collectively bolstered efficiency and cost management. We anticipate further margin improvements in 2026, with the EBITDA margin expected to reach about 15.0%-15.5%. "Positive FOCF generation driven by profitability appreciation, low capital expenditure (capex) intensity, and working capital inflows underpin good liquidity headroom. We forecast positive FOCF of EUR30 million-EUR50 million in fiscal 2025 and EUR130 million-EUR150 million in fiscal 2026. Margin appreciation, positive working capital of about EUR30 million-EUR50 million, and low capex requirements will support FOCF. Low intra-year working capital swings and a long-dated debt maturity profile (with no material maturity before 2030) provide sufficient covenant headroom, which underpins the company's liquidity profile. "We think TK Elevator's exposure to any potential tariffs imposed by the U.S. administration is limited. While the U.S. represents about 35% of the company’s sales, we think TK Elevator benefits from a truly global footprint. On top of this, approximately 70% of U.S. sales--and an even higher share of profits--originate from service and modernization businesses, which are highly localized. We also think the company will be able to compensate for any indirect inflation arising from U.S. import tariffs. "The stable outlook reflects our expectation that TK Elevator will continue to improve its operating performance over the next 12-18 months by executing its efficiency measures and revenue expansion, moving its S&P Global Ratings-adjusted EBITDA margin toward 14%, and reducing leverage to below 8x by fiscal 2025 (excluding the PIK notes). We also incorporate our expectation of increased FOCF of more than EUR100 million and an FFO cash interest coverage ratio of about 2x by fiscal 2026. "We could lower the rating if the group does not increase its revenue or absolute EBITDA as expected, resulting in debt to EBITDA (excluding PIK notes) of more than 8x or an FFO cash interest ratio of less than 2x by fiscal year-end 2025. These scenarios could materialize following a contraction of EBITDA amid the tough industry and weakening economic conditions." S&P could also lower the rating if: -- The EBITDA margin does not improve toward 14%; -- The company cannot generate sustainable FOCF of more than EUR100 million; -- Liquidity deteriorates; or -- The group undertakes significant debt-financed acquisitions. Rating upside is very limited over the next 24 months, owing to the group's high leverage and financial sponsor ownership. Beyond then, S&P could raise the rating if debt to EBITDA reduces to clearly below 7x, supported by further EBITDA margin expansion to above 15% and an FFO cash interest coverage ratio of about 2.5x, as well as a more conservative financial policy. ============= I R E L A N D ============= DRYDEN 29 EURO 2013: S&P Assigns 'B-' Rating on Class F-R Notes --------------------------------------------------------------- S&P Global Ratings raised its credit ratings on Dryden 29 Euro CLO 2013 DAC's class B-1-R and B-2-R notes to 'AAA (sf)' from 'AA (sf)', class C notes to 'AA+ (sf)' from 'A (sf)', and class D-R notes to 'A+ (sf)' from 'BBB (sf)'. At the same time, S&P affirmed its 'AAA (sf)' rating on the class A-R notes, 'BB (sf)' rating on the class E-R notes, and 'B- (sf)' rating on the class F-R notes. The rating actions follow the application of S&P's global corporate CLO criteria, and S&P's credit and cash flow analysis of the transaction based on the November 2024 trustee report. S&P's ratings address timely payment of interest and ultimate principal on the class A-R, B-1-R, and B-2-R notes, and ultimate payment of interest and principal on the class C-R, D-R, E-R, and F-R notes. Since the transaction closed in 2018: -- The portfolio's weighted-average rating is unchanged at 'B'. -- The portfolio has become more concentrated (the number of performing obligors has decreased to 83 from 128). -- The portfolio's weighted-average life has decreased to 3.04 years from 6.34 years. -- Despite a more concentrated portfolio, the scenario default rates (SDRs) decreased for all rating scenarios, mainly due to the reduction in the weighted-average life of the portfolio to 3.04 years from 6.34 years. Portfolio benchmarks SPWARF 2,872.59 Default rate dispersion (%) 758.84 Weighted-average life (years) 3.04 Obligor diversity measure 56.42 Industry diversity measure 16.98 Regional diversity measure 1.20 SPWARF--S&P Global Ratings' weighted-average rating factor. On the cash flow side: -- The reinvestment period for the transaction ended in July 2022. The class A-R notes have deleveraged by EUR119.57 million since then, with a note factor of 48.01%. -- No class of notes is deferring interest. -- All coverage tests are passing as of the November 2024 trustee report. -- The transaction saw a greater decrease in assets than liabilities, amounting to EUR14.60 million Transaction key metrics Total collateral amount (mil. EUR)* 265.83 Defaulted assets (mil. EUR) 0 Number of performing obligors 83 Portfolio weighted-average rating B 'CCC' assets (%) 4.14 'AAA' SDR (%) 59.31 'AAA' WARR (%) 35.08 *Performing assets plus cash and expected recoveries on defaulted assets. SDR--Scenario default rate. WARR--Weighted-average recovery rate. Credit enhancement Current credit Previous credit enhancement enhancement Current (based on the Nov 2024 (closed in Class amount (EUR) trustee report) (%) Jan 2018) (%) A-R 110,430,174 58.46 42.50 B-1-R 21,600,000 35.28 27.10 B-2-R 40,000,000 35.28 27.10 C-R 23,600,000 26.41 21.20 D-R 20,800,000 18.58 16.00 E-R 21,600,000 10.46 10.60 F-R 12,800,000 5.64 7.40 Sub 43,500,000 N/A N/A Credit enhancement = [Performing balance + cash balance + recovery on defaulted obligations (if any) – tranche balance (including tranche balance of all senior tranches)]/ [Performing balance + cash balance + recovery on defaulted obligations (if any)]. N/A--Not applicable. The CLO has a smoothing account that helps to mitigate any frequency timing mismatch risks. S&P said, "In our credit and cash flow analysis, we considered the transaction's available current cash balance and the SDRs, as per the November 2024 trustee report. Based on the improved SDRs and continued deleveraging of the senior notes--which has increased available credit enhancement--we raised our ratings on the class B-1-R, B-2-R, C-R, and D-R notes, as the available credit enhancement is now commensurate with higher levels of stress. "We performed sensitivity analysis based on the December 2024 trustee report, which showed that EUR60,397,421 was deleveraged, resulting in an additional increase in the credit enhancement. We also considered the limited reinvestment of proceeds that occurred over the last few trustee reports. "At the same time, we affirmed our 'AAA (sf)','BB (sf)', and 'B- (sf)' ratings on the class A-R, E-R, and F-R notes, respectively. "Our cash flow analysis indicates that the class E-R notes could withstand stresses at a higher rating level than that assigned. However, we limited our upgrade, given the result of the sensitivity analysis of spread compression and the sensitivity analysis of recovery compression, the portion of senior notes outstanding, the current macroeconomic environment, and the tranches' relative seniority. We therefore affirmed our 'BB (sf)' rating on the class E-R notes. "For the class F notes, our cash flow analysis indicated a lower rating than that currently assigned. Their current break-even default ratio cushion at the 'B-' rating level is negative. Based on the portfolio's actual characteristics and additional overlaying factors, including our long-term corporate default rates and the notes' credit enhancement, this class is able to sustain a steady-state scenario, in accordance with our 'CCC' rating criteria." S&P's analysis also considers: -- The notes' available credit enhancement is in the same range as other recently issued European CLOs we rate. -- S&P's model-generated portfolio default risk is at the 'B-' rating level at 14.95% (for a portfolio with a weighted-average life of 3.04 years), versus 9.42% if it was to consider a long-term sustainable default rate of 3.1% for 3.04 years. -- Whether the tranche is vulnerable to nonpayment risk in the near term. -- If there is a one-in-two chance of this tranche defaulting. -- If S&P envisions this tranche defaulting in the next 12-18 months. -- Following its analysis, S&P considers that the class F-R notes' available credit enhancement is commensurate with a 'B- (sf)' rating. S&P therefore affirmed its rating on this class of notes. Counterparty, operational, and legal risks are adequately mitigated in line with our criteria. Following the application of S&P's structured finance sovereign risk criteria, it considers the transaction's exposure to country risk to be limited at the assigned ratings, as the exposure to individual sovereigns does not exceed the diversification thresholds outlined in its criteria. Dryden 29 Euro CLO 2013 DAC is a broadly syndicated CLO managed by PGIM Ltd. PEMBROKE PROPERTY 3: S&P Assigns B(sf) Rating on Class F Notes -------------------------------------------------------------- S&P Global Ratings has assigned its credit ratings to Pembroke Property Finance 3 DAC's class A, B, C, D, E, and F notes. At closing, Pembroke Property Finance 3 also issued unrated class Z notes. In this true sale transaction, the issuer used the issuance amount to purchase a portfolio of 109 commercial mortgage loans and to fund a committed reserve account. The portfolio comprises 109 small commercial real estate loans originated by Finance Ireland Credit Solutions DAC and Finance Ireland Property Finance DAC (FICS and FIPF; the sellers) and secured on commercial properties located throughout Ireland. This is the third Pembroke transaction following Pembroke Property Finance DAC in 2019 and Pembroke Property Finance 2 DAC in 2022. About 14.9% of the pool in Pembroke Property Finance 2 currently forms part of the collateral for Pembroke Property Finance 3 and is also included in this new securitization. S&P said, "Our ratings address Pembroke Property Finance 3's ability to meet timely interest payments and principal repayment no later than the legal final maturity on the class A notes--in June 2043--and the ultimate payment of interest and principal no later than the legal final maturity on the other rated notes, in June 2043. The issuer will pay interest according to the priority of payments. Under the transaction documents, interest payments on all classes of notes (excluding the class A notes) can be deferred even when a class of notes becomes the most senior outstanding without constituting an event of default. Any deferred interest will also accrue interest at the applicable rate due under that class of notes. "Our ratings on the notes reflect the credit support provided by the subordinate classes of notes, the issuer reserve, the underlying loans' credit, cash flow, legal characteristics, and an analysis of the transaction's counterparty and operational risks, namely the ability of the servicer, FICS, to perform its roles in this transaction." Ratings Class Rating* Amount (mil. EUR) A AAA (sf) 208.8§ B AA (sf) 34.3 C AA- (sf) 19.9 D A (sf) 22.5 E BBB- (sf) 22.9 F B (sf) 20.5 Z NR 18.8 *S&P's ratings address timely payment of interest and payment of principal not later than the legal final maturity. §Includes amounts to fund the issuer liquidity reserve. NR--Not rated. =================== L U X E M B O U R G =================== ALTISOURCE PORTFOLIO: Davis Polk Advised Term Loan Lenders ---------------------------------------------------------- Davis Polk advised an ad hoc group of term loan lenders in connection with an exchange and maturity extension of Altisource Portfolio Solutions S.A.'s term loans. Through the exchange and maturity extension, Altisource reduced its outstanding debt obligations by about 25%, from $232.8 million to $172.5 million. The lenders exchanged their existing term loans for (i) a $110 million interest-bearing first-lien loan with a five-year maturity extension and associated non-interest-bearing exit fee of $50 million and (ii) 63.5% of Altisource's pro forma outstanding shares. Altisource is also the borrower under a new $12.5 million super senior credit facility. Pre-transaction Altisource shareholders, penny warrant holders and restricted stock unit holders also received warrants in the transaction. Altisource is a leading integrated service provider and marketplace for the real estate and mortgage industries. Altisource provides technology and innovative solutions to mortgage servicing and origination clients, as well as buyers and sellers of single-family residential real estate. The Davis Polk restructuring team included partners Damian S. Schaible and Natasha Tsiouris and associates David Kratzer and Kyle Kreider. The restructuring finance team included counsel Jon Finelli and associates Alexander K.B. Shimamura and Luke F. Porcari. The capital markets team included partner Roshni Banker Cariello and associate Benjamin Guillon. Partner Randall Derek Walters and counsel Justin Michael provided equity derivatives advice. Counsel Jacob S. Kleinman and associate Roderick (Lidong) Sheng provided corporate advice. The tax team included partner Corey M. Goodman, counsel Tracy L. Matlock and associate Yueyu Yang. All members of the Davis Polk team are based in the New York office. Davis Polk refers to Davis Polk & Wardwell LLP, a New York limited liability partnership, and its associated entities. About Altisource Headquartered in Luxembourg, Altisource Portfolio Solutions S.A. -- https://www.Altisource.com/ -- is an integrated service provider and marketplace for the real estate and mortgage industries. Combining operational excellence with a suite of innovative services and technologies, Altisource helps solve the demands of the ever-changing markets it serves. As of September 30, 2024, Altisource had $144.5 million in total assets, $293.2 million total liabilities, and $148.7 million in total deficit. * * * Egan-Jones Ratings Company, on September 27, 2024, downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Altisource Portfolio Solutions S.A. to CCC from CCC+. In December 2024, S&P Global Ratings lowered its Company credit rating on Altisource Portfolio Solutions S.A. to 'CC' from 'CCC+' and its issue rating on the senior secured term loan to 'C' from 'CCC-'. =========== N O R W A Y =========== HURTIGRUTEN NEWCO: S&P Downgrades LongTerm ICR to 'D' ----------------------------------------------------- S&P Global Ratings lowered to 'D' from 'CC' its long-term issuer credit rating on Hurtigruten Newco AS and its issue-level ratings on Facility A at Hurtigruten Group AS and on the Explorer II bond at HX Finance II AS, previously Explorer II AS. S&P also lowered its issue-level ratings on Facility B at Hurtigruten Group AS and on the Holdco Facility at Hurtigruten Newco AS to 'D' from 'C.' The downgrade follows the completion of the capital restructuring transaction on similar terms to those announced on Nov. 28, 2024. S&P views the executed capital restructuring transaction as tantamount to default because Hurtigruten has failed to pay or changed the terms and conditions of all its financial obligations and, in the absence of this transaction, it believes there was a realistic possibility of a conventional default. =========================== U N I T E D K I N G D O M =========================== H.A.C. PIPELINE: RSM UK Named as Administrators ----------------------------------------------- H.A.C. Pipeline Supplies Limited was 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-2025-1092, and Christopher Lewis and Tyrone Courtman of RSM UK Restructuring Advisory LLP were appointed as administrators on Feb. 21, 2025. H.A.C. Pipeline was an independent plumber's merchants, dealing with industrial, domestic and commercial products. Its registered office is at 106 Carter Lane, Mansfield, NG18 3DH. Its Principal trading address is at 31-33 Pinfold Road, Leicester, Leicestershire, LE4 8AS. The joint administrators can be reached at: Christopher Lewis RSM UK Restructuring Advisory LLP 10th Floor, 103 Colmore Row Birmingham B3 3AG -- and -- Tyrone Courtman RSM UK Restructuring Advisory LLP 2nd Floor, East West Building 2 Tollhouse Hill Nottingham, NG1 5FS Correspondence address & contact details of case manager: Daniel Evans RSM Restructuring Advisory LLP 10th Floor, 103 Colmore Row Birmingham, B3 3AG Tel: 0121 214 3100 For further details, contact: Christopher Lewis Tel No: 0121 214 3100 -- and -- Tyrone Courtman Tel: 0116 282 0550 HOOD PROPERTY: BDO LLP Named as Administrators ---------------------------------------------- Hood Property Cardrona Ltd was placed into administration proceedings in the Court of Session, Court Number: No P183 of 2025, and James Stephen and Kerry Bailey of BDO LLP were appointed as administrators on Feb. 19, 2025. Hood Property is into construction of domestic buildings. Its registered office is at 11 Portland Road, Kilmarnock, Ayrshire, KA1 2BT to be changed to C/O BDO LLP, at 2 Atlantic Square, 31 York Street, Glasgow, G2 8NJ. Its principal trading address is at 11 Portland Road, Kilmarnock, Ayrshire, KA1 2BT. The joint administrators can be reached at: James Stephen BDO LLP 2 Atlantic Square 31 York Street Glasgow, G2 8NJ -- and -- Kerry Bailey BDO LLP Eden Building Irwell Street Salford, M3 5ENF For further details, contact: The Joint Administrators Email: BRCMTNorthandScotland@bdo.co.uk Tel No: +44(0)744-2798412 Alternative contact: Alex Convery JAMIESONS DRY: KBL Advisory Named as Administrators --------------------------------------------------- Jamiesons Dry Cleaners Limited was placed into administration proceedings in the High Court of Justice Business and Property Court in Newcastle upon Tyne, Insolvency & Company List (ChD), Court Number: CR-2025-000024, and Steven Brown and Steve Kenny (IP No. 24030) both of KBL Advisory Limited were appointed as administrators on Feb. 20, 2025. Jamiesons Dry specialized in renting and leasing of other machinery, equipment and tangible goods; as well as washing and (dry-)cleaning of textile and fur products. Its registered office and principal trading address is at 1 A1 Marquis Court, Team Valley Trading Estate, Gateshead, NE11 0RU. The joint administrators can be reached at: Steven Brown Steve Kenny KBL Advisory Limited Stamford House, Northenden Road Sale, Cheshire, M33 2DH For further details, contact: Steven Brown Email: Steven.Brown@kbl-advisory.com Steve Kenny Email: Steve@kbl-advisory.com Alternative contact: Cherry Yau Email: cherry.yau@kbl-advisory.com Tel No: 0161 637 8100 KEIGHLEY FURNITURE: FRP Advisory Named as Administrators -------------------------------------------------------- Keighley Furniture Project was placed into administration proceedings in In the High Court of Justice Business and Property Courts in Leeds, Insolvency and Companies List (ChD), Court Number: CR-2025-LDS-000178, and Kelly Burton and Philip Reynolds FRP Advisory Trading Limited were appointed as administrators on Feb. 19, 2025. Keighley Furniture Project was established as a charity in 1979. It was set up to help people who are on low incomes and are needing household items. Its registered office is at Unit 1 Springfield Mills, Oakworth Road, Keighley, West Yorkshire, BD21 1SL to be changed to C/O FRP Advisory Trading Limited, at The Manor House, 260 Ecclesall Road South, Sheffield, S11 9PS. Its principal trading address is at Unit 1 Springfield Mills, Oakworth Road, Keighley, West Yorkshire, BD21 1SL. The joint administrators can be reached at: Kelly Burton Philip Reynolds FRP Advisory Trading Limited The Manor House 260 Ecclesall Road South Sheffield, S11 9PS For further details, contact: ` The Joint Administrators Tel No: 01142356780. Alternative contact: Daniel Grubb Email: cp.sheffield@frpadvisory.com MEDICAL PIPED: RSM UK Named as Administrators --------------------------------------------- Medical Piped Gases Limited was placed into administration proceedings in the High Court of Justice Business and Property Courts of England and Wales, Insolvency & Companies List (ChD), Court Number: CR-2025-985, and Christopher Lewis and Tyrone Courtman of RSM UK Restructuring Advisory LLP, were appointed as administrators on Feb. 21, 2025. Its registered office is at 106 Carter Lane, Mansfield, NG18 3DH. Its principal trading address is at 31-33 Pinfold Road, Leicester, Leicestershire, LE4 8AS. The joint administrators can be reached at: Christopher Lewis RSM UK Restructuring Advisory LLP 10th Floor 103 Colmore Row Birmingham B3 3AG -- and -- Tyrone Courtman RSM UK Restructuring Advisory LLP 2nd Floor, East West Building 2 Tollhouse Hill Nottingham, NG1 5FS Correspondence address & contact details of case manager: Daniel Evans RSM Restructuring Advisory LLP 10th Floor, 103 Colmore Row Birmingham, B3 3AG Tel: 0121-214-3100 For further details, contact: Christopher Lewis Tel No: 0121-214-3100 -- and -- Tyrone Courtman Tel: 0116-282-0550 RIPON MORTGAGES: S&P Assigns Prelim. B-(sf) Rating on Cl. X Notes ----------------------------------------------------------------- S&P Global Ratings assigned its preliminary credit ratings to RIPON MORTGAGES PLC's class A, B-Dfrd, C-Dfrd, D-Dfrd, E-Dfrd, F-Dfrd, and X-Dfrd U.K. RMBS notes. At closing, Ripon Mortgages will also issue unrated class Z and R notes and X1, X2, and Y certificates. The transaction is a second refinancing of the Ripon Mortgages PLC transaction, which closed in April 2017 (the original transaction). S&P said, "We have based our credit analysis on the £3.5 billion pool. The pool comprises first-lien U.K. buy-to-let (BTL) residential mortgage loans that Bradford & Bingley PLC and Mortgage Express PLC originated. The loans are secured on properties in England and Wales and were originated between 1996 and 2009. The underlying loans in the securitized portfolio are and will continue to be serviced by Topaz Finance Ltd., which is also the legal title holder. Topaz Finance is a subsidiary of Computershare Mortgage Services Ltd. (CMS). We reviewed CMS' servicing and default management processes and are satisfied that it is capable of performing its functions in the transaction." The collateral performance has historically been in line with S&P's legacy BTL index. All of the loans in the portfolio are more than 10 years seasoned. S&P said, "Our preliminary rating on the class A notes addresses the timely payment of interest and the ultimate payment of principal, and the ultimate payment of interest and principal on the class X-Dfrd notes. Our preliminary ratings also address the timely receipt of interest on the class B-Dfrd to F-Dfrd notes when they become the most senior class of notes outstanding. Any deferred interest is due at maturity. Our rating definitions are in line with the notes' terms and conditions." The rated notes are supported by the principal borrowing mechanism, the general reserve, and the liquidity reserve (class A notes). The first two are subject to a principal deficiency ledger condition for the class B-Dfrd to F-Dfrd notes, unless they are the most senior outstanding. These reserve funds will be funded at closing. Additionally, the transaction features a liquidity facility. S&P said, "Our cash flow analysis indicates that the available credit enhancement for the class B-Dfrd, D-Dfrd, E-Dfrd, and F-Dfrd is commensurate with higher ratings than those currently assigned. The preliminary ratings on these notes reflects their ability to withstand joint lead managers' (JLM) indemnity claims, higher levels of defaults, and greater-than-expected loss severity observed on the original transaction since its closing. "In our analysis, the class X-Dfrd notes are unable to withstand the stresses we apply at our 'B' rating level. However, payment on this class of notes does not rely on favorable business, financial, and economic conditions. Consequently, we have assigned a preliminary 'B- (sf)' rating to the notes, in line with our criteria." A portion of JLM indemnity claims ranks senior and is thus modeled in S&P's cash flow analysis. They represent a potential expense (to the benefit of JLMs) if, for instance, investors sue the JLMs for a breach of representations and warranties. There is no swap counterparty to hedge the mismatch between the interest rate paid under the loans and the interest rate paid under the notes. S&P expects to assign credit ratings on the closing date, subject to an ongoing satisfactory review of the transaction documents, audit report and legal opinions. Ripon Mortgages PLC is a U.K. RMBS transaction that closed in April 2017 and securitizes a pool of buy-to-let loans secured on properties in England and Wales. Preliminary Ratings Class Prelim. rating* Class size (%) A AAA (sf) 88.15 B-Dfrd AA- (sf) 3.90 C-Dfrd A (sf) 3.40 D-Dfrd BBB- (sf) 1.75 E-Dfrd BB- (sf) 0.75 F-Dfrd B (sf) 0.65 Z NR 1.40 R NR 1.25 X-Dfrd B- (sf) 0.50 X1 certs NR N/A X2 certs NR N/A Y certs NR N/A Note: This presale report is based on information as of Feb. 24, 2025. The ratings shown are preliminary. Subsequent information may result in the assignment of final ratings that differ from the preliminary ratings. Accordingly, the preliminary ratings should not be construed as evidence of final ratings. This report does not constitute a recommendation to buy, hold, or sell securities. *S&P's preliminary ratings address timely receipt of interest and ultimate repayment of principal for the class A notes, and the ultimate payment of interest and principal on the class X-Dfrd notes. Its preliminary ratings also address the timely receipt of interest on the other rated notes when they become most senior outstanding. Any deferred interest is due at maturity. §Credit enhancement comprises subordination and the general reserve fund at closing. N/A--Not applicable. NR--Not rated. THAMES WATER: S&P Downgrades Class A Debt Rating to 'D' ------------------------------------------------------- S&P Global Ratings lowered its issue-level ratings on Thames Water Utilities Finance PLC's (TWUF) Class A to 'D' from 'CC' and on the Class B debt to 'D' from 'C'. S&P also lowered its long- term issuer credit ratings on TWUL and TWUF to 'D' from 'CC'. On Feb. 18, 2025, the High Court of Justice of England and Wales sanctioned the restructuring plan proposed by Thames Water Utilities Holdings Ltd. in connection with implementing a liquidity extension transaction. Thames Water Utilities Limited (TWUL) announced the plan became effective on Feb. 21, 2025. S&P said, "We expect that as of Feb. 25, 2025, two working days after the restructuring plan's effective date, the maturities of all Class A debt and Class B debt issued by Thames Water Utilities Finance PLC (TWUF) will be extended by two years. "We treat the maturity extension as tantamount to a default because, in our view, TWUL and TWUF are distressed, and the maturity extension is a modification to the credit agreement whereby lenders will receive less than the original promise on the securities without adequate compensation. "We consider the maturity extension a distressed debt restructuring for Thames Water's class A and class B debt. We believe the maturity extension includes changes that would mean investors receive less value than promised in the original class A and class B notes without adequate offsetting compensation." Changes include: -- New funding of up to GBP3 billion that would rank super senior to existing debt, and hence reduce the payment priority of the existing class A and class B debt; and -- Extending the maturity for all class A and class B debt, including amortizing payments, by two years. S&P does not consider the non-cash consent fee -- either the 0.75% early bird rate, or the 0.5% rate -- adequate compensation to the loss of value for investors compared with what was promised in the original bond. TRITIUM TECHNOLOGIES: Alvarez & Marsal Named as Administrators -------------------------------------------------------------- Tritium Technologies Limited was placed into administration proceedings in the High Court of Justice, No CR-2025-000948 of 2025, and Richard Keley and Michael Solomons of Moorfields were appointed as administrators on Feb. 13, 2025. Tritium Technologies specialized in service activities incidental to land transportation, N.E.C. Its registered office and principal trading is at 1 Princeton Mews, 167-169 London Road, Kingston Upon Thames, KT2 6PT. The joint administrators can be reached at: Richard Keley Michael Solomons Moorfields Arundel House 1 Amberley Court Whitworth Road, Crawley West Sussex RH11 7XL Tel No: 01293 410333 For further information, contact: Jill King Moorfields Tel No: 01293 452845 Email: jill.king@moorfieldscr.com Arundel House 1 Amberley Court Whitworth Road, Crawley West Sussex RH11 7XL =============== X X X X X X X X =============== [] BOOK REVIEW: The First Junk Bond ----------------------------------- Author: Harlan D. Platt Publisher: Beard Books Softcover: 236 pages List Price: $34.95 http://www.beardbooks.com/beardbooks/the_first_junk_bond.html Only one in ten failed businesses is equal to the task of reorganizing itself and satisfying its prior debts in some fashion. This engrossing book follows the extraordinary journey of Texas International, Inc. (known by its New York Stock Exchange stock symbol, TEI), through its corporate growth and decline, debt exchange offers, and corporate renaissance as Phoenix Resource Companies, Inc. As Harlan Platt puts it, TEI "flourished for a brief luminous moment but then crashed to earth and was consumed." TEI's story features attention-grabbing characters, petroleum exploration innovations, financial innovations, and lots of risk taking. The First Junk Bond was originally published in 1994 and received solidly favorable reviews. The then-managing director of High Yield Securities Research and Economics for Merrill Lynch said that the book "is a richly detailed case study. Platt integrates corporate history, industry fundamentals, financial analysis and bankruptcy law on a scale that has rarely, if ever, been attempted." A retired U.S. Bankruptcy Court judge noted, "[i]t should appeal as supplementary reading to students in both business schools and law schools. Even those who practice.in the areas of business law, accounting and investments can obtain a greater understanding and perspective of their professional expertise." "TEI's saga is noteworthy because of the company's resilience and ingenuity in coping with the changing environment of the 1980s, its execution of innovative corporate strategies that were widely imitated and its extraordinary trading history," says the author. TEI issued the first junk bond. In 1986 it achieved the largest percentage gain on the NYSE, and in 1987 suffered the largest percentage loss. It issued one of the first bonds secured by a physical commodity and then later issued one of the first PIK (payment in kind) bonds. It was one of the first vulture investors, to be targeted by vulture investors later on. Its president was involved in an insider trading scandal. It innovated strip financing. It engaged in several workouts to sell off operations and raise cash to reduce debt. It completed three exchange offers that converted debt in to equity. In 1977, TEI, primarily an oil production outfit, had had a reprieve from bankruptcy through Michael Milken's first ever junk bond. The fresh capital had allowed TEI to acquire a controlling interest of Phoenix Resources Company, a part of King Resources Company. TEI purchased creditors' claims against King that were subsequently converted into stock under the terms of King's reorganization plan. Only two years later, cash deficiencies forced Phoenix to sell off its non-energy businesses. Vulture investors tried to buy up outstanding TEI stock. TEI sold off its own non-energy businesses, and focused on oil and gas exploration. An enormous oil discovery in Egypt made the future look grand. The value of TEI stock soared. Somehow, however, less than two years later, TEI was in bankruptcy. What a ride! All told, the book has 63 tables and 32 figures on all aspects of TEI's rise, fall, and renaissance. Businesspeople will find especially absorbing the details of how the company's bankruptcy filing affected various stakeholders, the bankruptcy negotiation process, and the alternative post-bankruptcy financial structures that were considered. Those interested in the oil and gas industry will find the book a primer on the subject, with an appendix devoted to exploration and drilling, and another on oil and gas accounting. Dr. Harlan D. Platt is a professor of Finance at D'Amore-McKim School of Business at Northeastern University. He is a member of the Board of Directors of Millennium Chemicals Inc. and is on the advisory board of the Millennium Liquidating Trust. He served as the Associate Editor-Finance for the Journal of Business Research. He received a Ph.D. from the University of Michigan, and holds a B.A. degree from Northwestern University. This book may be ordered by calling 888-563-4573 or by visiting www.beardbooks.com or through your favorite Internet or local bookseller. ********* 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 2025. All rights reserved. ISSN 1529-2754. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Europe subscription rate is US$775 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000. * * * End of Transmission * * *