Amber Beverage Group has opened “judicial reorganisation proceedings”, securing a moratorium on its debt obligations.
The moratorium granted by the District Court of Luxembourg is effective until 24 August and could also be extended, according to an Amber Beverage investor filing published yesterday (27 April).
The spirits group said the proceedings have been granted to help the company reach an “amicable” agreement with creditors or secure approval for a formal reorganisation plan.
The filing read: "The moratorium suspends, in respect of claims arising prior to the opening judgment, any enforcement measure, any protective or executory seizure, and the enforcement of the security and guarantees granted in favour of the noteholders. Any previously notified event of default in respect of the notes is therefore stayed for the duration of the moratorium and cannot give rise to acceleration or enforcement."
The move follows a formal event of default on 11 February, sparked by the failure of Amber Beverage Group to repay bondholders within a required 20-business-day window.
The crisis is tied to Amber Beverage Group's Latvian subsidiary and primary production unit, Amber Latvijas Balzams (ALB), which sought legal protection due to frozen accounts and liquidity shortages triggered by “external challenges”.
In 2025, ALB’s net turnover fell 4.8% to €74.5m ($86.3m), while net profit dropped 39% to €2.5m. Despite a 0.6% rise in production volume, gross profit slid 18.2% to €13.3m, “adversely affected by changes in sales volumes and pricing methodology”.
Amber Beverage Group also pointed to geopolitical upheavals, a cyberattack, and a global spirits market downturn as contributing factors to its cash flow deficit.
Besides, it linked its inability to meet maturing obligations to the insolvency of Stoli USA, which is owned by SPI Group Holding, a “major” shareholder in Amber Beverage Group.
The Moskovskaya vodka owner has appointed Alvarez & Marsal as restructuring advisors to navigate the process.
It maintains that subsidiary operations remain unaffected. “The company will provide further updates on the progress of the proceedings as appropriate,” Amber Beverage Group added.
