Oi's board approves support for judicial reorganization plan.
Oi reported that its board of directors approved by majority vote a proposal to support the judicial reorganization plan, which will be offered to all holders of the company's bonds. The proposal, which received three dissenting votes, includes an amendment to the judicial reorganization plan, setting final terms by November 6th, and Oi will attempt to obtain creditor approval.
By Aluísio Alves, Reuters
Brazilian telecommunications operator Oi, currently undergoing bankruptcy protection, announced that its board of directors has approved by majority vote a proposal to support its bankruptcy plan, which will be offered to all holders of the company's bonds.
The proposal, which received three dissenting votes, includes an amendment to the judicial reorganization plan, setting final terms by November 6, and Oi will attempt to obtain approval from creditors.
The Oi board also deliberated on a letter sent by Moelis, G5 Evercore and FTI, which advise a group of bondholders, and decided that its acceptance was impossible because it is not "a firm and binding proposal, proposes unequal treatment between different stakeholders, reserves the right to continue litigating against the company's interests, presupposes a change in the regulatory regime for its implementation, bringing delay and uncertainty to the judicial reorganization."