OPERADORA DE SERVICIOS MEGA, S.A. DE C.V., SOFOM, E.R. ANNOUNCES UPDATES ON 8.250% SENIOR NOTES DUE 2025

Jalisco, Mexico, August 13, 2024. Operadora de Servicios Mega, S.A. de C.V., SOFOM, E.R, a regulated multiple purpose financial company (“Mega” or the “Company”), announces that upon undertaking a strategic review of its capital structure, the Company is in the process of engaging with its creditors to reach an agreement on possible recapitalisation.

In connection with any such recapitalisation, and although the Company is able to pay its debts as they fall due, the Company believes that it is in the interests of all of its stakeholders to defer interest payments on certain outstanding debt obligations, including the coupon payment due on August 12, 2024 in respect of the Notes. The non-payment of the coupon under the Notes does not constitute an event of default unless it remains outstanding for a period of 30 days. The Company remains committed to complying with all of its obligations and will provide further updates regarding its recapitalisation plans shortly.

To assist in its recapitalisation process, the Company has retained Cleary Gottlieb Steen & Hamilton LLP and Mijares Angoitia Cortés y Fuentes, S.C., as legal advisors, and Houlihan Lokey Capital, Inc. and Blink Capital Solutions, as financial advisors. The review of Mega’s capital structure has been focused on the Company’s balance sheet and is not intended to impact the Company’s business operations or employees.

 

ABOUT THE COMPANY

The Company is a Mexican leasing company based in Guadalajara, Jalisco, with more than 19 years of operating experience specializing in three main business lines: leasing, lending and auto loans. In addition to the Company’s headquarters located in Guadalajara, it has five branches throughout Mexico, located in Mexico City, Puebla, Cancun, Queretaro and Leon, and one additional office located in San Diego, California. Through the Company’s leasing business line, it offers leases for a variety of machinery and equipment (including computer numerical control (CNC) machines and bending machines), transportation vehicles (including cargo and passenger vehicles) and other capital assets used in a variety of industries in Mexico. Through its lending business line, the Company provides financing to small and medium businesses for the acquisition of durable goods and equipment (such as greenhouses and macro-tunnels), as well as liquidity and financing solutions for their working capital needs. The Company’s auto loans business line, based in San Diego, California, specializes in loans for the purchase of pre-owned personal vehicles.

 

NOTICE REGARDING FORWARD-LOOKING STATEMENTS

This release may contain forward-looking statements. These statements relate to our future prospects, developments and business strategies and are identified by our use of terms and phrases such as “believe,” “could,” “would,” “will,” “estimate,” “expect,” “intend,” “may,” “plan,” “predict,” “strategy” and similar terms and phrases, and may include references to assumptions. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. We caution you that forward-looking statements are not guarantees of future performance and are based on numerous assumptions and that our actual results of operations, including our financial condition and liquidity and the development of the Mexican leasing and financing market, may differ materially from (and be more negative than) those made in, or suggested by, any forward-looking statements contained in this release. In addition, even if our results of operations, including our financial condition and liquidity and the development of the industry in which we operate, are consistent with the forward-looking statements contained in this release, those results or developments may not be indicative of results or developments in subsequent periods. These forward-looking statements speak only as of the date of this release and we undertake no obligation to update or revise any forward-looking statement, whether as a result of new information or future events or developments.

This announcement is for informational purposes only, and shall not constitute an offer to sell or buy or the solicitation of an offer to buy or sell any securities, nor shall there be any offer, solicitation or sale of any securities in the United States or in any state or other jurisdiction in which such an offer, solicitation or sale would be unlawful.  Securities may not be offered or sold in the United States absent registration or an exemption from registration under the Securities Act of 1933, as amended (the “Securities Act”). Any securities mentioned herein have not been and will not be registered under the Securities Act.

 

Miranda Newswire – Full Press Release: Download PDF

 

Investor Relations Contact Details

ir@gfmega.com

Tel. +52 (33) 3777 1640

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