Aspire Defence Finance PLC Update regarding liquidation of Carillion plc (1600D)

TIDM85VK

RNS Number : 1600D

Aspire Defence Finance PLC

29 January 2018

Update regarding liquidation of Carillion plc

Aspire Defence Finance plc (the "Company"), the Issuer for Project Allenby/Connaught ("the Project"), wishes to update its Series A and Series B Bondholders further to its announcement of 17 January 2018 concerning the impact of the compulsory liquidation of Carillion plc ("Carillion") on the Project.

The Project continues to deliver services and the construction of the Army Basing Programme Works as normal.

As noted in the Issuer's announcement dated 17 January 2018, it has and will continue to manage the consequences of Carillion's insolvency, including considering carefully the terms of the finance documents.

Consequently, the Issuer announces it has notified the monoline insurers of the Series A and Series B Bonds, Ambac Assurance UK Limited and Assured Guaranty (UK) plc, and Citicorp Trustee Company Limited, the Security Trustee and Bond Trustees, that a potential event of default has occurred by virtue of Carillion plc's role as guarantor of the liabilities of one of the unincorporated joint ventures acting as sub-contractor to Aspire Defence Limited ("ADL"), the special purpose vehicle for the Project, known as Aspire Defence Services ("ADS"), and by virtue of Carillion's role as guarantor of the liabilities of Aspire Defence Services Limited, a supplier to ADS. A potential event of default is any event which would, with the passage of time, the giving of notice or the making of a determination if not remedied, cured or waived, become an event of default as such term is defined in the Project's financing documents.

The Company is taking the steps outlined in the financing documents to remedy the potential event of default within the specified time periods by working in conjunction with all stakeholders on acceptable remedial plans.

The Company will provide further updates as appropriate.

By order of the Board,

Angus McColl

Company Secretary

29 January 2018

This information is provided by RNS

The company news service from the London Stock Exchange

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January 29, 2018 02:20 ET (07:20 GMT)