Court gives PIL rescue plan the green light

Pacific International Lines’s (PIL) proposed scheme of arrangement – a de facto debt workout – has been sanctioned by the Singapore High Court. This comes after PIL received support for the plan from its creditors last month.
PIL said the scheme would act as a key step towards the “successful recalibration” of PIL’s capital structure, giving investor, Heliconia Capital Management, part of Singapore’s sovereign wealth fund, a clearer path to come onboard.

“With a strengthened and sustainable financial position, a reinvigorated PIL will be in a position to capture the opportunities offered by improving market conditions,” PIL claimed in a release yesterday.

PIL, the world’s 12th largest liner, has been racked by severe financial problems, and has been forced to sell off many assets including around one-third of its container fleet. PIL’s fleet today stands at 264,485 slots, down from around 400,000 slots at the start of 2020, according to data from Alphaliner.

Be the first to comment

Leave a Reply

Your email address will not be published.