Berlian Laju Tanker in share issue for unsecured creditors

Beleaguered Indonesian tanker firm, Berlian Laju Tanker (BLT) plans to issue new shares valued at IDR267bn ($22m) to its unsecured creditors as part of its restructuring plan.

The company plans to issue 4.27bn shares, or 27% of its enlarged share capital, at IDR62.5 per share, the company said. The plan needs to be approved at a general shareholders meeting on 4 December.

The company warned that if shareholders do not approve the issue of the new shares there is a risk that unsecured creditors could apply to the courts to nullify the restructuring plan forcing the company into bankruptcy.

BLT halted payment of its $2bn debt in 2012, as its business crashed under the weight of the global commodity market downturn. The company has since come to a 10-year debt restructuring agreement with creditors.
Source: Seatrade Global