Material Fact – Decision of the Debenture Holders´ Meeting
São Paulo, September 13, 2017. Contax Participações S.A. (“Company”; CTAX3), in accordance with article 157, paragraph 4, of Law 6404/1976 and CVM Instruction 358/2002, hereby informs its shareholders, investors and the market in general, in complement to the material facts disclosed by the Company on March 23, 2017, May 19, 2017, June 5, 14, 19, 24 and 28, 2017, July 6, 10 and 28, 2017 and August 5, 8, 9, 12, 14, 21, 22 and 30 2017, that, on this date, the Company held a debenture holders’ meeting related to the 1st and 2nd series of the 2nd debentures issue by the Company (2nd issue), to resolve on (i) the Company‘s debt renegotiation, in the same terms approved by the holders of the Company‘s 1st and 3rd debenture issues and 1st issue of CTX Participações S.A. (whose obligations were assumed by the Company), pursuant to the material facts disclosed by the Company on August 14, 21 and 22, 2017 (“Debt Renegotiation”); and (ii) the constitution, by the Company and Contax-Mobitel S.A. (“Contax-Mobitel”), of a fiduciary assignment on certain Company bank accounts, in favor of said debenture holders, a guarantee which will be shared with the other financial creditors of the Company and its subsidiaries (“Shared Guarantee”).
In addition, in the context of the Company‘s negotiations with the debenture holders of the 2nd debenture issue, all credits arising from the second series of the 2nd debenture issue, of approximately R$90 million (which represent nearly 6% of the Company’s total indebtedness), will be assumed by the guarantor bank of the second series of the 2nd debenture issue, which will become a direct creditor of the Company and will be part of the group of financial creditors with which the Company is negotiating (“Assumption by the Guarantor”).
As approved by the debenture holders of the Company‘s 1st and 3rd debenture issues and by the debenture holders of the 1st debenture issue of CTX Participações S.A. (whose obligations were assumed by the Company), the effectiveness of the resolutions taken by the debenture holders of the 2nd debenture issue (except for the Assumption by the Guarantor) are subject to approval of the Renegotiation by other financial creditors of the Company and its subsidiaries, including but not limited to certain bilateral creditors of the Company, as well as the execution of the instrument that will formalize the creation of the Shared Guarantee by the Company and by Contax-Mobitel.
The remaining terms and conditions of the items herein are duly described and detailed in the minutes of the debenture holders‘ meeting related to the 2nd debenture issue, available on the Company‘s website (www.contax.com.br/ir and/or http://ri.liq.net.br).
The Company will keep its shareholders, investors and the market in general informed about the matters in this material fact.
Cristiane Barretto Sales
Chief Financial and Investor Relations Officer