Business
Crown Capital Announces Deferral of Interest Payment to Debenture Holders
Crown Capital Announces Deferral of Interest Payment to Debenture Holders Canada NewsWire...
About this update from Crown Capital Partners, Inc.
[{"type":"text","content":"\n\n\nCrown Capital Announces Deferral of Interest Payment to Debenture Holders\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\nCanada NewsWire\n\n\nCALGARY, AB, Dec. 22, 2025 /CNW/ - Crown Capital Partners Inc. (\"Crown\" or the \"Corporation\") (TSX: CRWN) today announced that it is deferring the scheduled interest payment of $3.2 million due on December 31, 2025 (the \"Interest Payment\") in respect of the 11% secured subordinated debentures of the Corporation (the \"Debentures\") for the interest accrued on the Debentures from June 30, 2024 up to, but excluding, December 31, 2025.  There are $20.0 million principal amount of Debentures issued and outstanding and they mature on December 31, 2026. The Debentures trade on the Toronto Stock Exchange under the symbol \"CRWN.NT\".\nDue to current liquidity constraints as well as to constraints imposed by Crown's senior secured credit facility (the \"Crown Credit Facility\"), in respect of which approximately $17.1 million was outstanding as of December 22, 2025, the Corporation will not be in position to fund the Interest Payment on December 31, 2025. \nThe Corporation anticipates funding its payment obligations in respect of the both the Crown Credit Facility and the Interest Payment primarily with proceeds from the disposition of assets.  In light of obligations maturing in the next 12 months, Crown is currently in advanced negotiations with prospective acquirors in respect of the sale of several of its businesses and assets. If completed, these dispositions would provide sufficient liquidity to repay the Crown Credit Facility.\nAlthough action has been taken to accelerate the realization of proceeds from dispositions, there is no assurance that such efforts will be successful, will be achieved on a timely basis, or will raise sufficient funds to satisfy the Corporation's payment obligations in respect of the Crown Credit Facility and the Interest Payment.\nThe terms of the trust indenture that governs the Debentures provides that non-payment of this interest will not constitute an event of default in respec...