Bankruptcy Judge Kevin Carey agreed to extend the shield of U.S. bankruptcy law to Abengoa SA while the Spanish renewable energy company works to secure creditors’ support for a restructuring plan, the Wall Street Journal reported today. Judge Carey yesterday agreed to preliminarily shield Abengoa SA and a host of affiliates from any creditor actions in the U.S., extending a protection that Abengoa has already secured from a Spanish court. Abengoa this week sought protection under chapter 15 of the U.S. bankruptcy code, which is available to foreign companies, after 75 percent of its financial creditors signed on to a standstill agreement that gives Abengoa until the end of October to reach a comprehensive restructuring agreement without the threat of its creditors interfering with those efforts. Read more. (Subscription required.)
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