Creditor Group Urges Extension of GZO AG Bonds’ Maturity

A creditor group representing 6.56% of GZO AG’s bonds has published a valuation of the company’s assets. The valuation indicates that GZO AG's assets exceed its liabilities by up to CHF 125 million.

The group believes that the creditors are unlikely to support a haircut. The total market value of GZO's assets, including CHF 75 million in real estate and up to CHF 128 million in business operations, surpasses the outstanding debt of CHF 240 million.

They argue that a moratorium process is unnecessary and would likely lead to the hospital’s liquidation. Instead, the creditors propose to extend the bonds' maturity by three years. This approach is aimed at providing time for a sustainable refinancing and restructuring plan.

The group stresses that liquidation would be detrimental to the hospital's operations, employees, and the local community. They believe that extending the bond’s maturity aligns with the best interests of all stakeholders.