Marco Polo's shipyard unit gets court order to temporarily restrain creditors

MARCO Polo Marine said that its PT Marcopolo Shipyard has filed an application to place itself under a suspension of debt payment plan as it undertakes a court-supervised debt restructuring.

The troubled offshore and marine group said that following the application on May 18, a temporary restraint of legal proceedings against the shipyard unit will be put in place for 45 days commencing from the date of the application.

A supervisory judge has been appointed and a team of administrators have been designated to assist the shipyard in managing its assets.

During this initial 45-day period, the shipyard unit is required to submit a debt restructuring plan for consideration at a creditors' meeting.

The group warned that should the debt restructuring plan fail to secure the consent of the requisite majority of creditors, a possible outcome is that PT Marcopolo Shipyard may be placed into bankruptcy.