Collateralized
financial liabilities
– Curragh
Housing
Transaction
The
Curragh
Housing
Transaction
did not
satisfy
the sale
criteria
under
ASC
606
–
with Customers
and was deemed
a financing arrangement.
As a result, proceeds of $
23.0
34.6
received for
the sale and leaseback
of
property,
plant and equipment owned
by the Company
in connection
with
the Curragh
Housing
Transaction
were recognized
as “Other
Financial
Liabilities”
on the Company’s
unaudited
Condensed
Consolidated
Balance
Sheets.
The term
of
the financing
arrangement
is
ten years
14.14
%.
This
liability
will
be
settled
in equal
monthly
payments
as
part
of
the
accommodation
In connection with
the Curragh Housing
Transaction,
the Company has
granted
the counterparty
mortgages
over
certain
leasehold
and
freehold
land.
The
counterparty’s
rights
are
subject
to
a
priority
deed
in
favor
of
the
Company’s
senior secured
parties
including,
but
not
limited
to,
holders
of
the Notes.
The carrying
value of
this financial liability,
net of issuance costs
of
$
0.8
20.1
2026, $
1.6
million
of
which is classified
as a current liability.