Banks will determine whether ‘catharsis’ in the ‘tragedy’ of Avramar, the strongest player in domestic fish farming, will be achieved.
According to information from “N”, an “ultimatum” was allegedly sent by the banks to Amerra Capital Management, the sole shareholder of Avramar, which expired at the end of April.
The lenders warned that if the procedures for signing a sales and purchase agreement (SPA) with the preferred investor Aqua Bridge do not proceed, they will exercise their right to immediately make approximately 100 million euros due. Now, developments cannot wait.
The main shareholder, despite the pledging of the shares by the banks, in the context of the approval of the interim financing of 20 million euros, has not waived its rights and obligations in Avramar by exercising 100% management and of course participating in the negotiations with Aqua Bridge. It is recalled that the preferred investor of the relevant tender process was selected, as “N” has reported since the end of October 2024, a fact that was officially confirmed at the beginning of this year by the Arab fund and more specifically its CEO Mohammad Tabish.
The timeline for completing the acquisition has been “postponed” several times, with months of delays in negotiations, the lack of a preliminary acquisition agreement and the obstacles that constantly arise (certainly not from the side of an interested investor) no longer leaving much room for flexibility, while at the same time creating intense skepticism about the attitude of the parties involved.
On their part, the banks have shown impressive tolerance in the procedures for the repayment of Avramar’s obligations, giving the initial 2019 agreement with Amerra a four-year grace period without collateral and without exercising any management control (given that the opening at that time was already close to 400 million euros), as well as for those that followed after the emergence of the preferred investor in the fall of 2024.
It remains to be seen which path the banks will choose from now on and whether they will push developments by making the repayment of the interim financing of 20 million euros, as well as the approximately 75.5 million euros related to Avramar’s contractual obligations arising from the loan agreements, which include repayments of capital and interest, immediately due.
In May 2023 discussions began on the approval of the interim financing, which was granted a few months later and “froze” the procedures for repaying loan obligations for six months, namely until October 2024, while an additional “draft” was then granted until the end of April 2025.
Meanwhile, by no means can Avramar’s funds cover such a demand from the banks. The possibility of Amerra claiming a new restructuring agreement with the banks seems difficult. Moreover, this possibility has not been exploited over the last two years that the company has been in trouble. It should also be noted that there is no possibility of a “haircut” of loans based on the provisions of the 2019 contract, which makes a new negotiation between Amerra and the banks even more difficult.
There are many question marks in the case, while it is certain that this is a game of tough “poker”, as Amerra’s side is a strong player and certainly seeks to claim the greatest possible benefits upon its exit from Avramar, using the good “cards” it has in its hands, such as the clientele or even the brand name.
