Court allows Excel Maritime Carriers restructuring plan

[DELAWARE] Excel Maritime Carriers, the Greek shipping company that operates 36 dry-bulk vessels, won court approval of a plan that gives lenders majority ownership of the reorganised company.

US bankruptcy judge Robert Drain approved the plan at a hearing on Monday in White Plains, New York. The restructuring will cut debt by more than US$600 million, Excel said in a statement.

The company should exit court protection by mid-February. Secured lenders who are owed about US$765 million will get new debt securities of US$300 million and about 83 per cent of the reorganised company's equity, according to the company's disclosure statement, a description of the plan. The lenders voted unanimously in favour of the plan.