Atlas Iron Lender Group negotiates debt restructure agreement

Client(s) Atlas Iron Lender Group

Jones Day assisted the Atlas Iron Lender Group ("Lenders") with negotiating a Restructuring Support Agreement and an amendment to its existing Syndicated Facility Agreement (collectively, "the Agreements") with Atlas Iron Limited (the "Company"), an Australian iron ore mining and exploration company. The Lenders will exchange existing loans for a pro rata share of cash, a new senior secured loan and equity in the Company.

The terms of the Agreements provide that the Company pay down the existing loan in an aggregate amount of $10 million and issue shares and options to the Lenders in exchange for the Lenders reducing the original loan debt amount of $267 million by $132 million, and extending the maturity date from December 2017 to April 2021. After the restructure is completed, the Lenders will be issued 70 percent of the Company's shares and options, subject to shareholder approval.