IM Skaugen, together with Singapore subsidiaries SMIPL Pte Ltd and IMSPL Pte Ltd (IMS Scheme companies), filed for a moratorium in the Singapore courts today protecting it from its creditors as it seeks to restructure via a court assisted scheme of arrangement. The initial moratorium for the IMS Scheme companies is for 30 days and they will seek approval to extend the moratorium. The IMS companies presented a restructuring plan on 4 April and while saying it has support of its stakeholders said the moratorium provide “much needed space” for the companies to complete their business transformation.
This transformation it said sought to shift from “seaborne transportation of LPG/petrochemicals to regional distribution of LNG through its unique fast-track, low capex small scale LNG concepts; target areas for growth and pursue new business opportunities; and focus on the ongoing discussions with strategic investors”.
The IMS companies are now seeking the help of the Singapore courts to complete the restructuring plan.
“The restructuring plan, if implemented, is in line with IMS' wishes to be in a position to be able to pay its liabilities in full with its upcoming cash flow matching an amended amortisation schedule of its liabilities. To achieve this, IMS will need the assistance of the Singapore Court through the scheme of arrangement process,” the shipowner said.
While the process is ongoing IM Skaugen Group will continue to seek small scale LNG opportunities through Norgas Carriers AS, Norgas Carriers Pte Ltd, and Somargas II Pte Ltd, which have been kept out of the scheme.
Last year Singapore changes its bankruptcy restructuring laws to be closer to a US styled Chapter 11 filing in a bid to become a restructuring hub along with London and New York.
Read More: Singapore aims to be debt restructuring hub joining New York and London
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited.
Add Seatrade Maritime News to your Google News feed.  |
