O&M debt restructuring: beware backlash from divide & rule

DON'T be mistaken - silence at a noteholder briefing does not mean consent, says a Business Times reader on news coverage of Nam Cheong's first noteholders' dialogue in July.

Noteholders were quiet because there was nothing warranting a response. At least, that was according to the reader who identified himself as a Nam Cheong noteholder.

Nam Cheong has since disclosed further details of its debt restructuring plan at its second informal meeting with its noteholders. More accurately put, Nam Cheong had held a series of meetings in August with its noteholders who were organised into groups. Attendees were also made to sign non-disclosure agreements (NDAs) (see amendment note).

Signing of NDAs is not new at noteholders' meetings - Marco Polo Marine had done the same before disclosing its business plan and getting this stakeholder group on board a proposed deferment of notes pr…