A group of Atlas Iron’s lenders are reportedly pushing for the miner to enter voluntary administration so they can carry out a debt-to-equity conversion.
The lenders represent more than half of the miner’s $US275 million Term B Loan and have sent a letter to the company warning they may accelerate the debt, according to a report from Debtwire. They believe the embattled iron ore miner is insolvent and has defaulted on its loan.
Atlas has $327 million in gross debt and $169 million in cash plus a bunch of near worthless assets. Might as well grab that cashola!
