Ad Hoc Committee of Senior Secured Creditors Expresses Interest in Sale Process of Towergate Group

LONDON, December 24, 2014 /PRNewswire/ --

Moelis & Company UK LLP, as financial adviser to the ad hoc committee (the "Ad Hoc Committee") formed by a group of creditors holding approximately 52% of the total principal amount outstanding of the senior secured debt of Towergate Finance Plc, announced today the submission on behalf of the Ad Hoc Committee to Towergate Holdings II Limited, Towergate Finance plc and Towergate Insurance Limited and Evercore Partners and Rothschild, as their financial advisors, of an indication of interest to participate in the recently announced sale process of Towergate Insurance Limited and its affiliates that form the Towergate Insurance group (the "Group"), together with other senior secured creditors, with a view to submitting a proposal to acquire the Group by way of a credit bid for an amount equal to the aggregate amount of indebtedness owing to the Group's senior secured creditors plus one pound in order to implement a financial restructuring that is expected to comprise post-completion both a significant deleveraging and a new money facility being available to the Group in order to provide a sustainable capital structure for the long term.  

Any proposal to be made by the Ad Hoc Committee pursuant to this non-binding indication of interest and any transaction pursuant thereto would be subject to satisfactory completion and outcome of due diligence, mutually acceptable definitive transaction agreements and related documentation, approval by the members of the Ad Hoc Committee and the requisite senior secured creditors and closing conditions to be set out in the definitive transaction agreements, including obtaining any applicable regulatory approvals.  Accordingly, there can be no assurance that a transaction will ensue.

This announcement is not for distribution, directly or indirectly, in or into the United States, Canada or Japan. This announcement does not constitute or form a part of any offer or solicitation to sell, exchange, purchase or subscribe for securities in the United States or in any other jurisdictions where such offer or solicitation would be unlawful. Any securities described herein have not been, and will not be, registered under the United States Securities Act of 1933 (the "Securities Act").  Any such securities may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act.