Struggling Irish drug maker Elan said today it had won yet another reprieve from bondholders to give it more time to file its 2002 US accounts.
The company said it had been granted a waiver by junior bondholders, owed $840 million, until September 5th, for which it had paid no fee, so averting a potentially crippling debt default.
"As previously announced, Elan and its auditor, KPMG, are currently working to conclude all audit related issues and matters in order to complete Elan's 2002 Form 20-F as soon as practicable," the company said in a statement, referring to its 2002 US accounts.
Although KPMG has not commented on the audit process, it is thought to have concerns about how a restatement of the 2002 US accounts could affect 2001 accounts.
If Elan has not filed its accounts by September 16th, holders of senior loans owed $640 million may call them in.
Despite raising cash from asset sales as part of a recovery plan, the company has warned it would be unable to meet all its debt in one go and would face bankruptcy.
The company initially asked its lender banks for a reprieve last month after a wrangle with US regulators forced it to extend the filing deadline of its annual report, which was originally due on June 29th.