LyondellBasell Announces Receipt of U.S. Bankruptcy Court Approval of Significant Steps in its Chapter 11 Proceedings

16-Mar-2010 - USA

LyondellBasell announced three significant developments toward its emergence from bankruptcy protection. Specifically, LyondellBasell:

- obtained bankruptcy court approval of its Third Amended Disclosure Statement, permitting LyondellBasell to begin soliciting votes on its Third Amended Plan of Reorganization;

- obtained bankruptcy court authorization for a settlement resolving various claims asserted against LyondellBasell's prepetition secured senior and bridge lenders and providing for treatment of its 2015 noteholders and Millennium noteholders; and

- obtained bankruptcy court approval of an Equity Commitment Agreement entered into on Dec. 11, 2009 with respect to a backstopped $2,800 million rights offering.

Holders of the majorities of the Company's prepetition senior and bridge debt have agreed to support confirmation of the Plan, as have the following groups: a majority of the holders of its 2015 Notes and its Millennium Notes, the Indenture Trustees for each of the 2015 Notes and the Millennium Notes, and the Official Committee of Unsecured Creditors.

With the approval of the Disclosure Statement, LyondellBasell can commence solicitation of acceptances of the Plan. It also can now commence the rights offering to holders of its senior secured debt who will be receiving rights under the Plan.

The Bankruptcy Court set the record date for being able to vote on the Plan and to participate in the rights offering as March 11, 2010 and the deadline for voting on the Plan and exercising rights as April 15, 2010. The Confirmation Hearing of the Plan is currently scheduled to commence on April 23, 2010.

https://www.chemeurope.com/en/news/114949/lyondellbasell-announces-receipt-of-u-s-bankruptcy-court-approval-of-significant-steps-in-its-chapter-11-proceedings.html