The rescue project has reached the finish line Rio and Alexandroupolis casinos, whose loans were bought by the British investment fund Glafka Capital with Greek interests. A hearing was held yesterday at the multi-part court of first instance in Athens on the consolidation agreement for Vivere Entertainment, which controls the Alexandroupolis casino, and a decision is expected shortly.

However, attention is riveted on a casino in Rio, where a workers’ union, demanding additional guarantees, has reached an agreement in principle with representatives of the fund. Thus, the fund will increase the amount of advance payments that will be made before the expected court approval of the reorganization agreement. To date, Glafka Capital has paid €300,000 to a number of employees in foreclosure and has reportedly agreed to pay €800,000 upon signing an employment agreement. Also, with a time horizon of September 2023, he will pay an additional 350,000 euros to fully pay off the accrued debts, which amount to about 1.1 million euros. Another clause of the employee-investor agreement provides for faster repayment of debts, as well as the immediate payment of funds that will be required when opening a business soon. With both parties now sitting at the same table, a dispute resolution deal with the Rio casino will be heard on March 7th. Until then, and considering that in the coming days Glafka Capital and employees will sign an agreement between them, the casino in Rio will reopen, which will require some investment (for example, for marketing services). The proceeds generated during the operation of the casino will be managed by a revenue manager appointed by the investor to ensure that current wages are paid.

Yesterday, a deal on a casino in Alexandroupolis was also discussed.

At Rio Casino, the total claims of creditors are 241 million euros. They, together with debts to the state, insurance organizations, personnel and other creditors, will be repaid. After the restructuring of the company, creditors will receive a total of 26.6 million euros, or 11% of the total debt.

At Alexandroupolis Casino, total liabilities are 192 million euros. Lenders will collect a total of 19.6 million euros or 10.2% of claims. Glafka Capital will continue to raise capital by €4 million and €1.1 million at Rio and Alexandroupolis casinos, respectively, with voluntary employee exits at both companies.

The group of casinos to be controlled by Glafka Capital also includes the Corfu Casino, whose restructuring agreement is expected to be submitted for ratification in the coming weeks. The task of restructuring this company is much easier compared to the other two companies, because, according to sources, among other things, the amount of debt is small.