German cable operator PrimaCom has confirmed it will file for insolvency protection, after its shareholders failed to come to an agreement with creditors regarding repayment of a E29.2 million loan. Following rejection of a repayment proposal by creditors, PrimaCom’s shareholders have said they are no longer willing to negotiate and therefore the board will prepare a bankruptcy petition.
The firm’s creditors and major shareholders have been negotiating the restructuring of the debt and credit position of PrimaCom since April. The company has stressed that the day-to-day running of the cable business is not affected.
German cable network operator Kabel Deutschland (KDG) said it is interested in buying assets from PrimaCom