ABU DHABI, United Arab Emirates, Dec. 06, 2019 (GLOBE NEWSWIRE) -- CRO Advisors Confirms Independent Eskom Debt Restructuring Report to be Issued by December 31, 2019. CRO Advisors does not represent the insolvent Eskom SOE or the Government of South Africa as that would create a conflict of interest.
Pursuant to CRO Advisors ICRO Public Report issued on 10.17.19, Eskom has devolved into an operationally dysfunctional, financially insolvent, unreliable and corrupt entity. These are the cold hard facts that all stakeholders must accept.
The full public version of the CRO Advisors ICRO Public Report issued on 10.17.19 may be found at:
https://www.dropbox.com/s/9cwnnhchwepraqk/Eskom%20Independent%20CRO%20Advisor%20Report%2010.17.19.pdf?dl=0
CRO Advisors independent analysis indicates that Eskom’s ~500BN on balance sheet debt, ~128BN off balance sheet debt, and 1,072BN in unavoidable cost over next 5 years, represents a staggering 76% of South Africa’s total current debt.
Furthermore, CRO Advisors estimates South Africa’s total debt obligations to be ~5.3 Trillion Rand (353BN USD), including Eskom’s total consolidated liabilities and substantial ongoing capital requirements, excluding other substantial cash requirements for other failing State-Owned Companies, excluding sizable Tax collection gaps and other sizable growing fiscal gaps.
CRO Advisors has firmly concluded that Eskom must immediately undergo an independent detailed and comprehensive “Forensic Audit” on behalf of all Creditors, Vendors, Unions and Stakeholders.
“CRO Advisors has firmly concluded that Eskom is “not ready” to be decoupled or broken up into separate operating companies at this time due to the severe financial, operational challenges, corruption, fraud and malfeasance facing the Company”, stated KW Miller, Chairman of CRO Advisors.
CRO Advisors Independent Eskom Restructuring Analysis Timeline includes:
- CRO Advisors Issues South Africa Country Review, IMF Warnings, and Eskom Insolvency Notices on 8.5.19
- CRO Advisors Issues Volume I: Eskom Independent CRO (ICRO) Restructuring Report on 10.17.19
- CRO Advisors to Issue Eskom Debt Restructuring Report by 12.31.19
- CRO Advisors to Issue Volume II: Integrated Resources Plan (IRP) Revisions and South Africa Electricity Market Design by 1.31.20
The full public version of the CRO Advisors Eskom Restructuring Update issued on 12.5.19 may be found at:
https://www.dropbox.com/s/n7vs48xk4ohnbur/Eskom_CRO%20Advisors%20Restructuring%20Update.pdf?dl=0
About CRO Advisors:
CRO Advisors works privately with Sovereign Governments, Institutional Investors and other stakeholders with exposure to the Global Energy & Infrastructure sector. The Firm engages with Sovereign Wealth Funds, Private Equity and Specialized Lending Funds to mobilize large pools of capital for our clients as part of our restructuring and turnaround mandates. CRO Advisors are specialists in the most complex restructuring and recapitalization of distressed Sovereign Government Assets, and Infrastructure companies and assets globally. Bankruptcy, Debtor in Possession (DIP) Finance, Business Rescue and Turnaround. Focus is on very large and complex debt and operational restructuring's in the Energy & Infrastructure sectors, including Power Generation, Transmission, Distribution, Natural Gas Pipeline, Fuel Storage Terminals, and other critical infrastructure assets.