Aegean Marine Petroleum, a marine fuel logistics company, published a statement according to which its re-organization plan has been approved by the US Bankruptcy Court for the Southern District of New York. This development leads the way for the Company to emerge from Chapter 11 restructuring as a wholly-owned subsidiary of Mercuria Energy Group Limited, one of the world’s largest independent energy and commodity companies.
Mainly, Tyler Baron, Aegean Board Director commented that the Court’s confirmation represents the comprehensive restructuring of the company’s operations and capital structure that positions the business to excel under Mercuria’s ownership.
The plan emerged from the company’s global settlement with many creditor groups, as Mercuria, the Official Committee of Unsecured Creditors of Aegean, American Express Travel Related Services Company, and certain holders of the company’s unsecured convertible notes.
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Mr Baron added that being supported from Mercuria and other creditors, the company will exit from the Chapter 11 restructuring significantly deleveraged, having reduced its funded debt by approximately 80%.
He continued that being Mercuria’s subsidiary, it will enable Aegean to have greater liquidity and supply capabilities than ever before and serve its customers with a bigger variety of services.
Aegean Marine, which markets and physically supplies refined marine fuel and lubricants to ships in port and at sea, commenced its Chapter 11 process on November 6, 2018, with the support of Mercuria, reorganizing in order to improve its liquidity. The company has continued its normal-course operations throughout the process.