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Ultrapetrol (Bahamas) Limited Initiates Prepackaged Chapter 11 Proceedings Pursuant to Restructuring Support Agreements
Ultrapetrol (Bahamas) Limited Initiates Prepackaged Chapter 11 Proceedings Pursuant to Restructuring Support Agreements.
About this update from Ultrapetrol (bahamas) Limited
[{"type":"text","content":"\n\n Company Seeks Expedited Chapter 11 Emergence\n Plan Supported by Lenders and Bondholders Vendors, Trade Creditors, Employees and Unsecured Creditors to Be Paid In Full Existing Operations to Continue Uninterrupted NASSAU, Bahamas, Feb. 07, 2017 (GLOBE NEWSWIRE) -- Ultrapetrol (Bahamas) Limited (the “Company”), a Bahamas corporation, announced today that it and certain of its subsidiaries have commenced voluntary cases under chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York yesterday (In re Ultrapetrol (Bahamas) Limited, Chapter 11 Case No. 17-22168) in order to implement the agreement reached with the Company’s and subsidiaries’ lenders and bondholders on the terms of a comprehensive debt restructuring.  To implement the restructuring, the Company and its subsidiaries negotiated and received affirmative votes from all voting lenders and from 99.9% of the Company’s bonds voting to accept a prepackaged chapter 11 Plan of Reorganization (“Plan”) that was filed with the United States Bankruptcy Court for the Southern District of New York.  With the full support of their lenders and bondholders, the Company has requested a prompt combined hearing to approve the disclosure statement for the Plan and to confirm the Plan.  The proposed Plan will restructure the Company’s and subsidiaries’ secured debt and pay in full allowed claims of unsecured creditors, allowing the Company to improve its balance sheet with the goal of returning to overall profitability in light of current and expected demand in the shipping markets in which the Company’s subsidiaries operate.   The Company and its subsidiaries are taking actions to ensure that the chapter 11 filing does not affect their operations, which are expected to continue on an uninterrupted basis during the cases, and have sought customary relief with respect to, among other things, payment of balances owed to non-U.S. vendors and the continuation of their insurance programs and their wage and benefit programs for employees.  The Company anticipates business as usual, and that the Company and its subsidiaries will meet all obligations that arise during the case as they come due in the ordinary course.  The Company expects to ...