Differ Group Announces Debt Restructuring Plan

Differ Group Auto Limited (HK:6878) has released an update.

Differ Group Auto Limited, facing significant financial distress with current liabilities vastly outstripping cash on hand, has announced a restructuring plan to address its debt crisis. The plan involves increasing the company’s authorized capital and issuing new shares, known as Scheme Shares, to settle creditors’ claims on a one-to-one basis. These shares will be subject to lock-up periods and are backed by a Make Good Undertaking to ensure compensation if sold below guaranteed prices.

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