EQS-News

Endor AG agrees to exclusive negotiations with strategic investor CORSAIR

EQS-News: Endor AG / Key word(s): Financing/Offer Endor AG agrees to exclusive negotiations with strategic investor CORSAIR 09.05.2024 / 12:00 CET/CEST The issuer is solely responsible for the content of this announcement. Endor AG agrees to exclusive negotiations with strategic investor CORSAIR Landshut, 9 May 2024 – The Management Board entered into a term sheet to negotiate exclusively with US-based leader in high-performance gear and systems for gamers, content creators, and PC enthusiasts CORSAIR (Nasdaq: CRSR) on the restructuring of the company, concluding an open-ended and intensive examination of various offers from investors and after consultation with its lending banks. This represents a significant milestone in the sustainable reduction of the company’s debt and creates a positive outlook for the company.

“We are very pleased to have found a strategic investor in CORSAIR who knows our market well and wants to invest for the long term,” said Andres Ruff, CEO and Chief Restructuring Officer of Endor AG. “With this partnership, we now have another opportunity to invest in the further development of the brand and lay the foundation for operational strength in the coming years. Sim Racing is a good portfolio expansion for CORSAIR and in return it opens up our brand to CORSAIR’s enourmous gaming community and its associated brands. We are confident that we have found the best financing solution and strategic partner in the interest of the company, our employees, our customers and our suppliers.”

Endor AG is to be restructured outside of insolvency proceedings in accordance with the German Act on the Stabilization and Restructuring Framework for Companies (StaRUG) due to imminent insolvency. The signing of a binding agreement is expected for end of May, which will promptly be submitted to the restructuring court in Munich.

As part of the restructuring, CORSAIR will become the parent company of Endor in full and provide sufficient financial resources to stabilize the company without any external debt. Endor currently holds approximately EUR 70 million of external bank debt.

“Together with our advisors, we have considered various offers over the past weeks and months and discussed them with our external banks,” said CFO Matthias Kosch. “We are pleased with the outcome of this process and are convinced CORSAIR’s financing and ultimate ownership of the company will stabilize its balance sheet and secure its long term future.“