20:20 Mobile Group today announced it has successfully completed its financial restructuring.
Mobile revealed last month that a restructuring exercise would take place, which includes a £15m capital injection from the company’s private equity backers, Doughty Hanson.
There is also a significant reduction in the bank debt providing the company with a stable financial platform for future growth.
The refinancing of the company will also see its consortium of banks, led by RBS, write down the net debt in 20:20 Mobile to £92 million and receive 45% of the equity in the company.
Doughty Hanson now owns 45% of the company, the banks 45% and the existing management 10%.
Meinie Oldersma said: ‘This successful outcome is a mark of confidence from our investors in the new management team’s resolve and ability to reboot this company and move us forward into an exciting new future.
‘The new financial structure will enable us to develop the long-term strategic alliances with customers and suppliers that will see us deliver genuine value-added services.
‘As our sector matures we need to recognise that the role of distributors is changing.
‘Customers are demanding more from us and we need to meet and exceed their expectations in order to succeed in the future.’