Relevant Document:
2019 Report
Italian entertainment park group Leolandia is seeking some government-guaranteed funding in order to offset the losses caused by the outbreak of Covid-19, sources familiar with the matter told Reorg.
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The company, which operates an amusement park for children near Bergamo, in the north of Italy, is already working with some financial and legal advisors, sources added.
According to its latest available report, Leolandia had €19 million of debt in 2019. Revenue in the same year amounted to €32.2 million and EBITDA was €278,000. Liquidity at the end of 2019 amounted to €120,769.
The park reopened on June 20 after a national lockdown imposed by the government on March 9. It said customers in July have been lower than in 2019 but significantly higher than in the last week of June.
During the lockdown, the company said it focused on cost-cutting measures. It also achieved a moratorium on the amortization payment of its loan with Banco BPM until Sept. 30, according to the company’s report.
The Italian government’s April Liquidity Decree
contains measures to support companies struggling as a result of the pandemic, including guarantee schemes from export credit agency SACE, the Italian government, and the country’s Central Guarantee Fund. They include a tailored package of measures for SMEs including a standstill period for their debts.
Under the decree, medium-sized and large companies can ask SACE to guarantee new bank loans if businesses refrain from approving dividend payments for a year. The government can guarantee up to 90% of the principal amount of the financing for companies that employ fewer than 5,000 people in Italy and have annual revenue lower than €1.5 billion.
The government can guarantee 80% of the principal amount of the financing for companies that employ more than 5,000 people in Italy and have annual revenue between €1.5 billion and €5 billion. It can guarantee 70% of the principal amount of the financing for companies which have annual revenue higher than €5 billion.
A number of companies, including
Fiat-Chrysler,
Impresa Pizzarotti,
OVS and
Marcolin have benefited from the government-guaranteed loans, as reported.
According to a
release by the Italian Ministry of the Economy, the government has provided €13 billion of guaranteed loans through SACE as of Sept. 9, €6.7 billion of which have concerned three big companies with more than 5,000 employees or revenue above €1.5 billion. As of Aug. 28, the Bank of Italy said that banks have received 2.7 million moratorium requests on interest payments for an overall value of €301 billion, 94% of which has already been approved by the lenders.