Dubai's ship building unit Drydocks World has secured the necessary level of support from its syndicated lenders to implement the restructuring of its $2.2 billion debt, the company said in a statement on Saturday.
The Dubai World unit said a 'significant majority' of the Group's lenders had formally confirmed their support for the restructuring. However, a small minority is yet to confirm support, it added.
The company did not specify what percentage of lenders needed to agree for it to go ahead with the restructuring proposal.
'The Group remains confident the absence of support from this minority will have no impact on the group's restructuring,' said the chairman of Drydocks World Khamis Juma Buamim in the statement.
It said last week that it hoped to secure lenders support by April 2.
Drydocks World has been in negotiations to restructure its loan facility in an effort to put an end to lengthy and complex debt talks.
Earlier this month, the company proposed repaying creditors in five years and said it was seeking more working capital.
Drydocks World's debt restructuring, initially expected to be completed by April last year, has dragged on as the presence of hedge funds and a lack of government support curbed prospects of an amicable deal.
A U.S.-based hedge fund Monarch Alternative Capital won a $45.5 million legal claim against Drydocks this month for defaulting on a loan, putting the ship builder's restructuring in further trouble.
The firm's debts stem from a multibillion-dollar loan it took out to fund expansion in Singapore. Its major ship and rig building facilities are in southeast Asian countries such as Singapore and Indonesia.
ADX Index Sustains Upward March
The ADX General Index earlier slipped into the red territory but then jumped up into the green territory and closed the day at 3,664.99 levels on Wednesday 19th June 2013, up 5.45 points or 0.15 perc
Rakbank bags gold for AMAL TVC
Rakbank was announced the winner of the Gold Summit Creative Award (SCA) for its AMAL Launch Television campaign during the recent 2013 Summit International Award (SIA) held in the United States.
KFH capital increase subscribed amounts
Kuwait Finance House KFH Chairman Muhammad Ali Al-Khudairy said: The subscription process in the capital increase of 20% approved by the Extraordinary General Assembly on April 24th 2013 by a value