Court confirms Ultrapetrol’s prepackaged shipping restructuring
Ultrapetrol (Bahamas) Limited filed Chapter 11 in the Southern District of New York on February 6, 2017, listing $500 million to $1 billion in both assets and liabilities and 200 to 999 creditors source filing. The Bahamas parent sat atop an industrial shipping group with River, Offshore Supply, and recently sold Ocean businesses; Damian Scokin said the group had about $777.6 million of consolidated assets, $565.9 million of consolidated liabilities, $275.4 million of 2016 revenue, 1,149 personnel, 685 barges, 35 pushboats, 13 PSVs and roughly $454.0 million of secured debt plus $10.6 million of trade debt source filing.
Judge Robert D. Drain confirmed the second amended prepackaged plan on March 17, approving the disclosure statement, prepetition solicitation and ballots, overruling remaining objections, waiving the 14-day stay and authorizing implementation once plan conditions were satisfied source filing. The voting classes all accepted: 2021 noteholders accepted by 93 of 100 ballots and 99.91% in amount, IFC/OFID loan claims accepted unanimously, and offshore lender parent claims accepted unanimously source filing. Economically, the plan paid 2021 noteholders initial cash and Ocean Business consideration, gave IFC/OFID lenders cash, reserve-account and true-up recoveries, restructured offshore loan obligations through cancellation of parent guarantees, left general unsecured claims unimpaired, and canceled certain equity interests source filing.