Grupo Moreno announced on 6 January 2022 the payment of creditors and the anticipation of the fulfillment of its judicial recovery plan. The company financed around 40% of its BRL 1 billion debt with financing from Quadra Capital, used its own resources, thanks to the good result of the 21/22 harvest, to repay another 40%, and paid off the remaining 20% from anticipation of exports with trading company Sucden.

"The payment forecast was for a period of up to three years, but this operation allowed the settlement of almost 100% of the company's debt, including debt excluded from judicial recovery, but which adhered to the payment methods agreed in the plan approved one year ago", explained Fabiana Solano, the Restructuring and Insolvency partner who led the team from Felsberg Advogados which advised Grupo Moreno.
 
In view of the fulfillment of the plan and payment of creditors, Grupo Moreno is now restructured, with EBITDA of BRL 900 million and good prospects for the year 2022. “This is one of the first times in Brazil that we see exit financing, which is widely used in the United States, providing the company with the possibility of moving forward in a healthy and productive way”, added Fabiana.

The DIP (debtor-in-possession) financing operation is allowed for companies undergoing judicial reorganization, which already have a plan approved or under discussion by creditors. During the judicial recovery, Grupo Moreno proceeded normally with its activities and ended the 20/21 harvest crushing more than nine million tons of cane, resulting in a production of 694 million tons of sugar (crystal and VHP) and more than 372 million liters of ethanol (anhydrous and hydrated).

In addition to Fabiana Solano, Felsberg Advogados' team comprised partners Maria da Graça Pedretti, Thomas Felsberg and Tatiana Guerra, and lawyers André Drumon, Anne Gasques, Lucas Ruggeri and Ronaldo Santos. On the part of the investors, Quadra was advised by Pinheiro Guimarães Advogados and Sucden by Santos Neto.