Monday, Apr 02, 2012
DUBAI (Zawya Dow Jones)--Drydocks World, a Dubai-based ship-building and repair company, has applied for a hearing at a special Dubai tribunal as the company seeks legal backing to overcome opposition of some lenders to its $2.2 billion debt restructuring plan, according to court officials and the tribunal's website.
Drydocks filed a notification on Sunday evening to the Dubai World Tribunal, which has set a hearing for 1000 GMT on Monday, according to Tribunal officials. The officials said Drydocks' move triggers an automatic moratorium on debt repayments under Decree 57, the legal framework that was established in 2009 to help the emirate deal with the $25 billion debt restructuring of state-owned conglomerate Dubai World.
The Dubai World Tribunal, which was set up to decide on claims filed under Decree 57, provides Dubai World and related companies with protection from creditor action while they sort out restructuring proposals. Zawya Dow Jones reported Sunday that Drydocks was threatening to seek a ruling from the Tribunal in order to overcome the opposition of some lenders to its $2.2 billion debt restructuring plan.
On Saturday, Drydocks said it had secured sufficient creditor support for its restructuring plan but noted that "a small minority" had yet to confirm their backing.
-By Nicolas Parasie, Dow Jones Newswires, +9714 446 1681, nicolas.parasie@dowjones.com
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
02-04-12 0559GMT
