Aspire Defence Finance PLC (LON:85VK), the issuer for Project Allenby/Connaught has said the project continues to deliver services and the construction of the Army Basing Programme Works is as normal despite the impact of the compulsory liquidation of Carillion PLC (LON:CLLN).
In a statement on 29 January 2018, Aspire Def Fin said the liquidation of Carillion had caused a potential event of default as such term is defined in the Project's financing documents.
The company said today that it has submitted remedial plans to the monoline insurers of the Series A and Series B Bonds, Ambac Assurance UK Limited and Assured Guaranty (UK) PLC.
The finance group added the remedial plans have the support of the monoline insurers in-principle, and they are being put into effect.
It concluded, whilst good progress has been made to remedy the situation the revised arrangements are not complete, and the company has requested, and the Monolines have agreed to, an extension to that cure period to 30 April 2018.
The company said it will continue to provide further updates as appropriate.