Dutch telecoms carrier Versatel has voluntarily filed for creditor protection in The Netherlands and in the US in a bid to restructure its debts. The company said that the Chapter 11 filing in the US and the filing for protection in The Netherlands were part of plan to speed up its restructuring deal and that the operation of its networks would not be affected.
The proposed restructuring is to remove Euro 1.7 billion of its debts and will give bondholders 80% of share capital. The company says it has received support for the proposed plan from bondholders representing 65% of bonds.
Versatel has received a Euro 150 million credit facility, available upon the successful completion of its restructuring.
20-Jun-2002
