April 3 (SeeNews) - Antonio Alvarez III, a managing director at consulting firm Alvarez & Marsal, will be appointed chief restructuring officer in Croatia's highly indebted concern Agorkor, following the conclusion of a standstill arrangement between the company and six of its major creditors, local media reported late on Sunday.
Russia's Sberbank, a member of Agrokor's coordination committee of financial creditors, has already done business with Alvarez & Marsal in matters related to the Croatian concern and has been negotiating Alvarez's new post for days, broadcaster RTL reported late on Sunday citing unofficial sources.
Agrokor head Ivica Todoric is expected to step down from the board, it added. However, according to RTL sources, he will pick at least one member of the company's new leadership.
Antonio Alvarez III has played an integral role in several high-profile turnarounds and performance improvement projects and brings more than 25 years of experience serving public and privately owned companies, Alvarez & Marsal's website says. His father is one of two founders of the company which was established in 1983.
Alvarez III is also involved in music under the pseudonym A3.
On Sunday, VTB, Sberbank, Erste&Steiermaerkische Bank, Privredna banka Zagreb, the local unit of Austria's Raiffeisenbank, Zagrebacka Banka and Agrokor signed a standstill agreement to help the company stabilise its operations and service its obligations to suppliers.
Erste announced at the time that Agrokor's management board will be strengthened by international experts.
Agrokor's financial issues became apparent earlier this year when Moody's downgraded the company's corporate family rating (CFR) to B3 from B2. The company then pulled out of a syndicated loan deal it had struck with several international lenders, which sent the price of its bonds on international markets into a downward spiral.