Tuesday, Jul 10, 2012
DUBAI (Zawya Dow Jones)--Drydocks World, a Dubai ship-building and repair firm, received almost unanimous support for its proposed $2.2 billion debt restructuring Tuesday at a creditors' meetings in Dubai.
Creditors holding more than 97% of the debt to be restructured officially agreed to the deal, according to a statement from professional services firm PwC, which is advising Drydocks on the restructuring alongside law firm Clifford Chance.
"The approval of the proposals at today's meetings is a fundamental step to concluding Drydocks' debt restructuring," said Ian Schneider, a partner at PwC. "The level of support received by the companies far exceeded the two thirds majority required by the Decree 57 legislation to approve these proposals."
Drydocks is using the Dubai World Tribunal, a special judicial body formed by Dubai's Decree 57 of 2009, to push through its restructuring proposals. PwC said Drydocks would seek a sanction of the approvals from the Tribunal at a hearing on August 28. If the Tribunal gives its blessing, "the restructuring should be formally effective shortly thereafter," PwC's statement said.
Only one creditor did not attend Tuesday's meetings or vote on the restructuring proposal. Mr. Schneider declined to name the creditor. But Monarch Alternative Capital, a private U.S. Investment firm, has been holding out on the deal and won a $72 million claim against Drydocks in London this March.
-By Asa Fitch, Dow Jones Newswires, +971 4 446-1685, asa.fitch@dowjones.com; Twitter: @ZDJnews
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
10-07-12 0924GMT
