There was a rapid decline in liquidity levels Kodare In the first quarter of the year, it accelerated the refinancing and restructuring agreement signed with its securities, which was approved by its shareholders at this month’s meeting.
The listed gaming company burned between December 31, 2020 and March 31, 2021, at 51 million euros at the end of last year, i.e. 110 million. According to the first quarter results released yesterday, that number has dropped to 58.4 at the end of that period, representing a 47% reduction, practically half.
Last summer, Koder signed a refinancing agreement with its securities, which established that the company should always have at least 40 million in cash. As its terms were to be violated, it had to face 30 million euros in its bonds on two coupons, one in March and the other in late April.
According to the newspaper, Coder did not have the capacity to deal with these and other payments with its available liquidity levels, which accelerated the company’s in-depth restructuring in the coming months.
For the period from January to March, Koder burned an average of 9.9 million dollars each month because of the impact of the restrictions on its operations. In total, nearly 30 million for that concept. In particular, it closed in Mexico, Italy, Panama, Uruguay and Colombia. And in areas such as Catalonia or the Valencian community in Spain.
He owed nearly 16 million euros for deferred taxes in Italy and a further 6.4 million for other outstanding payments. For all this he had to add second-quarter payments like the aforementioned coupons to the trembling box. To counter them, it is in the process of receiving up to $ 100 million through bridge bonds.
Business collapse
A situation that has arisen due to the strong impact that various restrictions have been imposed to control Covid-10, and, consequently, cash creation. Coder ended the first quarter with an operating income of 7 127.2 million, down 54.3%. This is the quarter with the lowest returns since the end of the 2020 lockout. The total shutdown in Italy alone affected 60 million. The fall in Spain ranged from 34.3% to 26.6 million.
The adjusted EBITDA was 3.5 million euros, 93% lower than in the same quarter of 2020, and the net loss was 91.5 million, which was 5% less than the same period of the year. Last year, the company added, “due to the increase in spending, financial debt and, to some extent, the depreciation of our operating currencies against the dollar.”
“The measures that were able to restart their operations have shown an encouraging recovery in revenue over a period not affected by the closures, especially in Spain, Panama, or Argentina and Uruguay.
Koder faces reorganization in the coming months, with completion expected in the last quarter of the year. Its finance director, Angel Corzo, explained at the conference before analysts that he expects the list for September, or more recently, the current chairman of the restructuring committee, Koder S.A., who is listed on the pack. He also confirmed that the new coder, which holds 95% of the securities, will not be listed.
“There will be room for mineral growth after infection”
Activities. Vicente de Loretto, CEO of C டிte d’Ivoire, told analysts that the company is not currently focusing on potential corporate activities, but once the epidemic is over there will be “many opportunities for mineral growth in different markets that are interesting to analyze”. Koder’s current situation, yes, does not call us to think that this will lead to movements in a while. De Loreto remembered that they had not long refused to allow a minority partner in their online subsidiary.
Military rule. Kodare yesterday convened a meeting of ordinary shareholders on June 22 in which the accounts for the 2020 financial year will be approved and the work of the council will be voted on.
