A US judge has paved the way for Almatis, owned by Dubai International Capital (DIC), to emerge from bankruptcy and formally end a five-month struggle between the private equity giant and the German alumina company’s creditors.
Under the plan approved late on Monday by judge Martin Glenn of the US bankruptcy court in New York, DIC is to hand over a 40 per cent stake in Almatis to the company’s junior creditors, while senior debt is to be repaid in full. DIC would inject US$100 million (Dh367m) of new equity and secure about $550m of new financing underwritten by banks and asset managers. Those would include Bank of America, Merrill Lynch International and “several units” of JPMorgan Chase. It would retain a 60 per cent stake as the company exits Chapter 11 bankruptcy protection.
“Today’s final court approval of the plan of reorganisation is an excellent outcome for all parties and we expect Almatis to exit Chapter 11 very shortly,” said Anand Krishnan, the chief executive of DIC. “We are grateful for the support and partnership of our new and existing lenders who share our confidence in a bright future for Almatis.”"
No comments:
Post a Comment