Creditors from Samarco Mineracao SA, a Brazilian iron-ore producer jointly owned by Vale SA and BHP Group, rejected the new restructuring plan proposed by the company, Bloomberg News reported. The ad hoc group of bondholders consider that even under the new plan, presented Wednesday, Vale and BHP would still not pay for what creditors see as their share of the repairs from the 2015 deadly dam disaster, according to the people, who asked not to be named because the discussions are private. They also complain that the two shareholders would have priority over creditors in receiving back loans made to the firm. Creditors are preparing an alternative restructuring plan for the mining company that will include a new controlling shareholder group to take control after its approval, the people said. The group, which had already hinted at this project in December, is working with Tito Martins, former Chief Financial Officer from Vale and former Chief Executive Officer of Nexa Resources, according to a statement on Tuesday. Samarco, which filed for bankruptcy protection in April 2021, will have a creditors meeting to vote a plan for restructuring its about 50 billion reais ($10 billion) in debt on March 10.
