General Maritime Files Reorganization Plan, Disclosure Statement
General Maritime Corporation announced that it has filed a Plan of Reorganization and a Disclosure Statement with the U.S. Bankruptcy Court for the Southern District of New York. The company intends to seek confirmation of the plan by April 2012.
Under the terms of the plan, the company will receive an infusion of $175 million in new capital from funds managed by Oaktree Capital Management, L.P., less the amount raised in the rights offering described below, will continue to operate as a going concern and will reduce its funded indebtedness by approximately $600 million.
Jeffrey D. Pribor, General Maritime’s CFO, said, “The filing of our plan represents a significant milestone in our financial restructuring efforts. We have made good progress and are confident that this process will strengthen our balance sheet and enhance our financial flexibility without compromising our commitments to our valued customers, vendors and employees. We look forward to emerging as a stronger company, positioned for long-term growth as a leading provider of international seaborne oil transportation services.”
Additional terms of the plan include:
The plan provides for a record date of February 8, 2012 for determining generally the holders of general unsecured claims that are eligible to participate in the rights offering.
Kramer Levin Naftalis & Frankel LLP is serving as legal advisor and Moelis & Company is serving as financial advisor to the Company.
General Maritime Corporation is a crude and products tanker company operating principally within the Atlantic basin, which includes ports in the Caribbean, South and Central America, the United States, West Africa, the Mediterranean, Europe and the North Sea.
Previously on abfjournal.com: