• Spain's news in English
 
app_header_v3
Abengoa shares soar as creditors said to throw lifeline
Photo: AFP

Abengoa shares soar as creditors said to throw lifeline

AFP · 8 Mar 2016, 16:08

Published: 08 Mar 2016 16:08 GMT+01:00

In early afternoon, Abengoa B shares were up nearly 26 percent at €0.28, having already risen by 56 percent on Monday.

Abengoa is on a March 28 deadline to restructure its debt and avoid bankruptcy. If it goes under, it would be one of Spain's biggest corporate failures ever.

Abengoa itself has said that it needs €826 million this year and another €304 million in 2017 to avoid bankruptcy.

The source said bondholders and lenders now stood ready to inject almost one billion euros ($1.1 billion) into the company over this year and next to keep it going, and a debt deal could be struck by the end of this week.

Abengoa's debt mountain stood at €9.4 billion at the end of 2015.

Debt talks are expected to be facilitated by Abengoa sacking its chairman last week to make way for a successor, Antonio Fornieles Melero, who is seen as more acceptable to banks than Jose Dominguez Abascal who was pushed out after just five months in the job.

Story continues below…

In November the world player in solar and wind power, biofuels and water management announced it was close to bankruptcy following years of unsustainable expansion and filing for protection from creditors.

In September Abengoa had already sacked a chairman, Felipe Benjumea, who is the founder's son and ran the company for 25 years

For more news from Spain, join us on Facebook and Twitter.

Your comments about this article

Today's headlines
Vamos a la playa! These are Spain's top ten beaches
Playa de Ses Illetes, Formentera, Europe's best beach. Photo:Photo: Ismail Mia/Flickr

Spain has five beaches in Europe's top ten. The Local gives you a tour.

Spanish economy continues to grow despite lack of govt
Photo: Contando Estrelas/Flickr

Spain's economic growth continued in the second quarter even as the country remains mired in political limbo after two inconclusive general elections.

Shocking video shows torture of young calf during fiesta
Cruelty in the name of fun? Photo: Pacma

Bullfighting fiestas reached a new low with the torture of a young calf.

Ethan Hawkes to be honoured with San Sebastián award
Ethan Hawke in the Magnificent Seven

The Hollywood actor will be given the Donastia lifetime achievement at the 64th San Sebastián Film Festival.

Gallery
The ten most weird (and wonderful) museums in Spain
Photo: Courtesy of the Museum of Funeral Carriages.

Spain is home to some of the finest museums in the world, but it also boasts some of the most bizarre.

Spanish court bars top Eta figure from Basque elections
The Basque separatist leader in San Sebastian. Photo: AFP

Arnaldo Otegi, once jailed for terrorism charges, has been barred from standing in Basque elections.

Spanish town warns against texting while crossing roads
The warnings now appear at crossings in Talavera de la Reina in Spain.

It might seem entirely obvious to most, but it seems some people need to be told that looking at your phone while crossing a busy road can prove dangerous.

Police launch appeal for Costa Blanca hit and run driver
Photo: N332 /@drivingSpain/facebook

Do you recognise this car?

What political deadlock? Spain economy forges ahead
Rajoy is struggling to form a government. Photo: AFP

Eight months without a government but is Spain really the worse for it?

Ten fascinating museums in Spain you REALLY must visit
The innovative NMAC foundation in southern Spain's Cádiz province features contemporay art in a former military installation. Photo: Guillermo Varela

To mark International Museum Day, The Local takes a look at ten museums in Spain, you may not have visited. But should.

Sponsored Article
Life in Jordan: 'Undiscovered treasure'
International
'We won't ban burqinis on our beaches' insists Barcelona
Sponsored Article
Why you should attend an international job fair
National
British dad drowns saving daughter on red flagged beach
National
11 Spanish words that English must adopt right now
Sponsored Article
Jordan: where history meets adventure
Lifestyle
Justin Bieber just bought an amazing new pad in Lanzarote
Sponsored Article
Five things Americans should know about voting abroad
Lifestyle
Recipe: How to make Andalusian Ajo Blanco soup
Travel
Keep passports safe: Typical pickpocket scams revealed
Travel
Ten touristy types you'll meet in Spain: Which one are you?
Sponsored Article
Why expats choose international health insurance
Lifestyle
Ten top tips to avoid looking like a guiri when in Spain
Sponsored Article
Why you should attend an international job fair
International
Don't miss this spectacular meteor shower over Spain
Travel
Desperate Ryanair passenger chases after missed flight
Sponsored Article
Jordan Pass: your ticket to the experience of a lifetime
Travel
What's on in Spain: August 2016
Sponsored Article
Why expats choose international health insurance
National
Get your kit off! Spain's ten best nudist beaches
National
German firestarter blames blaze on 'toilet paper mishap'
National
Flashmob prank sparks 'terror attack' panic in Spanish resort
Culture
Croquemon Go: Spain invents twist on game to 'eat 'em all'
Technology
Six free apps to simplify your summer in Spain
National
Spanish parents fight for right to name their son 'Wolf'
National
Beach closed after shark attack in southern Spain
National
Spain ups security at tourist spots as terrorism fears grow
National
Ten great reasons to discover the real Malaga right now
Lifestyle
The good, bad and the ugly of long distance relationships
National
7 reasons why grandparents in Spain are simply the best
Travel
Barcelona bans Segways from tourist clogged waterfront
3,193
jobs available