Boomerang Tube LLC, which makes pipes and tubing for oil and natural gas companies, will soon ask creditors to vote on its plan to hand control of the company to its lenders, Dow Jones Daily Bankruptcy Review reported today. In court papers filed on Tuesday with the U.S. Bankruptcy Court in Wilmington, Del., Boomerang outlined a plan under which lenders would trade approximately $214 million in debt for ownership of a reorganized company as well as for $55 million in new debt. The company has already won Bankruptcy Judge Mary Walrath’s permission to begin drawing down $145 million in bankruptcy financing to fund its continued operations while in chapter 11.
