Dongbei Special Steel bankruptcy reorganization plan is expected to be available in late September
From a number of informed sources learned exclusively, the Liaoning provincial government has decided to Dongbei Special Steel bankruptcy reorganization, the program is expected to be available in late September.
According to the 21st Century Business Herald reported on September 21, a source said, Dongbei Special China Prepainted Galvalume Steel sheet
restructuring program has been brewing for a while, it is estimated to file for bankruptcy, the preservation of property, think back program, we will carry out a bankruptcy reorganization , not directly to the liquidation. Dongbei Special Steel preparing for the implementation of bankruptcy reorganization, is indeed quite upset, "Debt is not pushed down, there is no other way."
According to the creditors 'meeting minutes show, September 19, the Bank of China Dalian Branch held the lead in the Northeast Special Steel Group, the creditors' committee emergency meeting and informed the latest developments in Northeast Special Steel debt disposal.
Its contents include: Liaoning provincial government has determined that the Northeast Special Steel into bankruptcy proceedings, the bankruptcy reorganization plan is expected to introduce before the end of September.
Minutes also show that the creditor is not clear the specific content of the bankruptcy reorganization plan, is the Group's overall bankruptcy, insolvency or shelling (reservations Fushun Special Steel), is not known.
In view of this, the Bank as the lead line, put forward three proposals. One suggestion receivership program requires the involvement of the creditors 'committee; the second is the recommended capital verification procedures operated by the creditors' committee approved the accounting firm; third is recommended that the creditor banks to consider a chain reaction of problems Dahua Group guarantees.
"Although the program has not come out, but we are more pessimistic for bankruptcy reorganization, the future is likely to go bankruptcy liquidation this step." A bond trading source said.
Around April of this year, Northeast Special Steel, iron materials, in construction and other huge event of default of debt concentrated outbreak, resulting in turbulent bond markets, credit risk was spread to liquidity risk. Later, as part of the payment due bond after SAC intervention, credit debt market turmoil subsides.
"When more holders suffer losses, will produce a greater impact on the market. Guangxi Nonferrous Metals preliminary risk has been more fully exposed, and it bonds only PPN, and only 15 million in limited impact." A brokerage analyst at Beijing analysts said the bond market in the Northeast Special steel payment or expectations are low, the impact will not be too great.