As a part of a new agreement with its Polish creditor Pekao, Orco Property Group agreed to take over the financial liabilities of its Polish subsidiary, Orco Property sp. z o.o. The settlement has made it possible for the Polish division of Orco to maintain liquidity, after its landmark project, Złota 44, failed on the Warsaw market. The move comes weeks after the bank demanded the company pay off its debts by the end of April. The company revealed it has also secured a bridging loan from another lender, which will make it possible for Orco Property Group to buy all the debts of its Polish division before it offloads some of its biggest assets.
“According to the agreement, Orco will buy all of the financial liabilities of Orco Property sp. z.o.o. against Pekao, including all the guaranties of Pekao,” Orco said in a statement.
