Rand Logistics, which moves commodities across the Great Lakes, has sought chapter 11 bankruptcy protection at a court in Delaware.
Debtors will continue to operate their businesses as debtors in possession under the jurisdiction of the court. The filing involves Rand’s American businesses. None of its Canadian businesses have filed for bankruptcy protection.
Key holder of Rand’s debt Lightship Capital, an affiliate of American Industrial Partners, is set to take over the company in the event the court agrees to Rand’s restructuring plan. The next court hearing regarding Rand’s future is likely to be held towards the end of February.
New Jersey-based Rand, which has 10 Canadian-flagged vessels and six US-flagged ones in its fleet, first flagged it was in financial difficulty in August 2016 when it defaulted on two loans.