Regulatory press release

Arctic Paper: Conclusion of a new factoring agreement by subsidiary company

Under the Factoring Agreement, the Factor is to provide factoring services for AP Kostrzyn incorporating the acquisition of AP Kostrzyn' receivables from its counterparties, with the maximum factoring limit granted to AP Kostrzyn being PLN 30,000,000 (thirty million zlotys) and it's valid until 31stof October 2020.
The Factoring Agreement provides for the establishment of the following security interests, which are standard for agreements of this type:

  • assignment of present and future receivables from counterparties declared to the Factor by AP Kostrzyn;
  • a blank promissory note with a promissory note declaration; and
The Factoring Agreement does not depart from market standards used in similar factoring agreements.

The conclusion of the Factoring Agreement is associated with the profitability improvement program implemented by the Arctic Paper Group, in particular the improvement of working capital management.