Central Proteinaprima shrimp farm. (Photo: Central Proteinaprima)

Shrimp producer has six months to get its act together: Stock Exchange

INDONESIA
Tuesday, January 08, 2013, 04:20 (GMT + 9)

Shrimp production company Central Proteinaprima (CP Prima) has six months to settle its USD 325 million debt restructure, or else it will be delisted from the Indonesia Stock Exchange, according to a director at the bourse. 

The firm sold USD 325 million in bonds through its subsidiary Blue Ocean Resources in 2007, due to mature on 28 June 2012 – but CP Prima has failed to pay the coupon for its bonds since 2007. Meanwhile, the company has been incurring losses after its farms were struck by a viral outbreak in 2009. 

Premier Law LLC, counsel of CP Prima, said the business would be able to restructure its debts by this coming May, and that the company has proposed a debt restructuring programme to creditors with an extension to 2020. 

“If they pass that deadline, then they will get the sanction of forced delisting. Their shares have been suspended since 29 June 2010,” said Hoesen, a director at the exchange known as the IDX, Jakarta Globe reports. 

Representatives of CP Prima have gathered with the lead Noteholder and report that there is good support for the proposed scheme. 

The lawyer told that Blue Ocean’s plan is to make the application to Court for permission to summon the Scheme Meeting at some point between January and February of this year.

"If the Court is satisfied with the information the issuer has provided, it will grant permission for the Scheme Meeting to be held," the Premier said. 

By Natalia Real
editorial@fis.com
www.fis.com

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