SoWiTec group GmbH will hold a second bondholders' meeting on October 8, 2025, following the failure of an initial electronic voting process for its 2018/2026 bond to achieve the required participation threshold. The company reported that only 12.18% of bondholders participated in the voting without a meeting, falling significantly short of the 50% quorum requirement. The invitation for the upcoming physical meeting was published in the German Federal Gazette and on the company website.
For this second attempt, the quorum requirement has been reduced to 25% of the outstanding bond volume, reflecting the company's urgent need to secure approval for proposed financial measures. SoWiTec is offering bondholders a participation incentive equivalent to 0.5% of the outstanding nominal value registered for the meeting, with a minimum payment of €75.00 per deposit, though this payment is contingent on reaching the required quorum and implementation of resolutions. The form for applying for the participation fee is available for download on the company website.
The company's liquidity situation remains precarious, with available funds decreasing by €3.1 million compared to the previous year to €0.4 million as of December 31, 2024. Recent figures show liquidity stood at €0.5 million as of June 30, 2025, and €1.4 million as of July 31, 2025. SoWiTec is currently in advanced negotiations regarding the sale of an 80 MW partial portfolio in Germany, with proceeds intended to finance partial repayment of the bond due on November 8, 2025.
The proposed resolutions, developed in agreement with SdK Schutzgemeinschaft der Kapitalanleger e.V., include deferring the €2,290,200 partial repayment due in November 2025 by six months to May 8, 2026. Bondholders are also being asked to waive termination rights related to the non-payment of this partial repayment and to authorize the joint representative to exercise terminations and temporary waivers. Importantly, the 8% interest payment of approximately €0.4 million due on November 8, 2025, is not subject to the proposed deferral measures and will be paid in full and on time.
The company emphasized that failure to secure bondholder approval could result in liquidity shortages if the portfolio sale experiences delays, highlighting the critical nature of the upcoming vote for the company's financial stability. The reduced quorum requirement and participation incentive demonstrate the company's determination to avoid potential default scenarios while maintaining transparency with stakeholders through official channels including the company website.
