OSG said it had entered into a plan support agreement representing roughly 60% of its debtors and lenders by value outstanding under its $1.5bn credit agreement.
Under the plan holders of claims of the $1.5bn credit agreement would receive a pro-rata share of stocks and warrants in the reorganised OSG. Also under the plan the shipping company will raise $150m through a rights offering and aims that OSG raises a further $625m in exit financing.
“The proceeds of the rights offering and such exit financing will enable the Debtors to satisfy the secured claims of the Export-Import Bank of China in full, in cash,” the company said in a SEC filing.
The plan has to be confirmed by the bankruptcy court by 20 June.
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited. Add Seatrade Maritime News to your Google News feed.
