Sea Containers Implements Plan of Reorganisation
LONDON and HAMILTON, Bermuda, February 12 /PRNewswire/ --
- Value of Container Interests Distributed to Creditors via New Company 'SeaCo Ltd'
Sea Containers Ltd ("SCL") announces the implementation of its restructuring plan and emergence from Chapter 11. On 11th February 2009 Sea Containers Ltd completed the transfer of its maritime container interests to SeaCo Ltd, a new Bermuda registered company and confirmed its emergence from bankruptcy with the Delaware Bankruptcy Court.
The major shareholders in the new company will be the former Sea Containers Ltd bondholders and two of the group's UK pension funds. SeaCo Ltd owns a 50% share in the maritime leasing company GE SeaCo (the other 50% is owned by GE Capital) and a container fleet of approximately 105,000 TEU, which is managed for SeaCo Ltd by GE SeaCo.
SeaCo Ltd has raised a $127m five year exit financing facility via a senior secured term loan from Fortis Bank Nederland and DVB Bank. The proceeds, less retained working capital of $5M and financing costs of $5M, have been used to repay the debtor in possession (DIP) loan provided to Sea Containers Ltd by Mariner and Dune, two of its former bondholders. The $24M balance of the DIP loan of $141M was repaid from SCL's own cash resources.
SeaCo Ltd paid total consideration of $462.3M for the container assets of SCL including cash of $77.7M and equity of $384.6M. In addition, SeaCo Ltd has advanced $40M to SCL as a senior, secured loan, to be repaid in due course from cash generated from the wind down and liquidation of the Sea Containers group.
AlixPartners LLP has been appointed as Plan Administrator to SCL to oversee the wind down of the group.
Mark Wilson, the new CEO of SeaCo Ltd said: "We are pleased to complete the $127m refinancing with Fortis and DVB, and the Sea Containers restructuring. SeaCo has been formed at a challenging time for the maritime container industry as it responds to the downturn in global shipping. SeaCo will be working closely with GE Capital to continue GE SeaCo's role as a leading maritime container leasing company and to protect the value of its own fleet of marine containers."
For further information:
Sea Containers Ltd - Laura Barlow: laura.barlow@seacontainers.com
SeaCo Ltd - Mark Wilson: mark.wilson@seacoltd.com
M:Communications - Adrian Flook +44(0)20-7153-1588 / flook@mcomgroup.com
SOURCE Sea Containers Ltd.
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