Dubai's Drydocks goes to court to force creditors in line

Drydocks World wants creditors to sign $2.2 billion restructuring proposal

The Dubai Drydocks, the shipbuilding unit of Dubai World
Image Credit: Oliver Clarke/Gulf News Archives
The Dubai Drydocks, the shipbuilding unit of Dubai World. Dubai World's shipbuilding unit filed for insolvency protection, using a special law set up after the emirate's debt crisis, to force holdout creditors to sign on to its $2.2 billion restructuring proposal, two sources said on Monday, April 2, 2012
Gulf News

Dubai: Dubai World's shipbuilding unit filed for insolvency protection, using a special law set up after the emirate's debt crisis, to force holdout creditors to sign on to its $2.2 billion restructuring proposal, two sources said on Monday.

Drydocks World, which has said a significant majority of its lenders had formally backed the deal, filed a notification under Decree 57 on Sunday night, sources told ALB The Brief, a Thomson Reuters publication.

A hearing before the Dubai World tribunal is slated on Monday, said the sources who spoke on condition of anonymity.