Date & time of news - 8th Apr 04 @ 6:51am - Announcement released at an appropriate time when most investors would not notice it!

SFI comes to agreement with main creditors - report
AFX


LONDON (AFX) - SFI Group, the high street pubs group that owns Slug & Lettuce and other brands, looks set for a new lease of life after an agreement with its banks to waive more than half its debt, the Financial Times said citing a circular issued by the company.

The deal will raise the hopes of shareholders who in effect lost their investment when the heavily indebted company delisted last year after the discovery of accounting discrepancies, the paper said.

SFI has 157 pubs and owes its banks 163.4 mln stg. The banks are cutting the debt to 80 mln. In return they will get a 75 pct stake in a new holding company, the FT said.

Existing shareholders will get a 12.5 pct interest in the holding company, while the board and some 60 senior employees will be entitled to buy the remaining 12.5 pct as an incentive.

The company has been de-listed but may re-join the stock market at some time.

ijl/rn

Is this a good deal for existing shareholders? Looks as if these have a raw deal!

Will the holding company be SFI and ever be re-listed on AIM again?

Angel Realisations 6 Limited
is the new company - anyone know of an otc or other market for the shares & litigatoon rights?

tia

I was wondering if it can now be written off as a loss against capital gains - don't think we shall ever see a penny for our shares!