Arcapita Files for Bankruptcy Protection as Debt Talks Fail

19/03/2012 19:59 AST

Arcapita Bank BSC, the owner of Irish power utility Viridian Group Ltd., filed for bankruptcy in the U.S. after failing to reach an agreement with creditors on a $1.1 billion loan due this month.

Arcapita, formerly known as First Islamic Investment Bank, and five affiliates sought Chapter 11 protection today in U.S. Bankruptcy Court in Manhattan, listing more than $1 billion in both debts and assets. Arcapita’s board approved the process “to protect their business and assets and implement a comprehensive restructuring,” the Manama, Bahrain-based private-equity firm said in an e-mailed statement today.

The bankruptcy filing is a “logical step by the company to protect its foreign investments and from individual creditors going after the company’s assets in Europe, the U.S. and Asia,” Serge Lioutyi, a London-based distressed debt trader at Citigroup Global Markets Ltd. said in an e-mail today. It “will help the company focus on reaching a consensual agreement with creditors rather than worrying about individual claims.”

For more on this Click Here

Economic and Business News
2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | News Archive
Most Viewed Companies
Ticker Price Volume
SABIC 89.83 8,769,989
SAGRINSURANCE 28.69 314,717
ALMARAI 80.41 227,243
STC 66.41 453,477
RIBL 12.54 1,184,746
EEC 29.8 2,504,402
EMAAR.TASI 9.26 9,929,370
Recent News

DSI secures AED 131 million project wins in Abu Dhabi and Dubai
Drake & Scull Engineering LLC (DSE), a subsidiary of Drake & Scull International PJSC (DSI), a regional market leader in the integrated design, engineering and construction disciplines of General Con

Bahraini banks’ boost as Fitch affirms ratings
Fitch Ratings has affirmed National Bank of Bahrain’s (NBB), BBK’s and Arab Banking Corporation’s (ABC) long-term issuer default ratings (IDRs) at ‘BBB-’.

Fitch has also affirmed Ahli Unit

Economic issues to be probed at forum
A key forum to be hosted by Bahrain at the start of next week brings together global decision-makers to discuss economic development against the backdrop of regional insecurity.

The Intern

Bahrain ‘smart choice for investors’
With competitive costs, easy access to the rest of the Middle East, and a well-established business infrastructure, Bahrain is the smart choice for investors, a leading expert has said.


Qatar to invest $10 billion annually in India
The volume of GCC exports to India jumped from $12.377 billion in 2005 to $55.082bn in 2014, while imports from India increased from $9.57bn in 2005 to $27.94bn in 2014. Ali Hamid Al Mulla, the assi

GulfBase GCC Index
Search By
  • Company Symbol
  • Company Name
  • Mutual Fund Name
  • News Content
Send this page to a friend


Looking ahead, what change you are more likely to make in investing in your domestic stock market?