Creditors back PIL restructuring in crucial vote

Creditors to struggling Singapore container line Pacific International Lines (PIL) today overwhelmingly approved a restructuring deal that involves a capital injection from a unit of Temasek Holdings, sparing the SS Teo-led line from being liquidated.

PIL has been seeking the backing of bondholders and creditors to green light its proposed $600m bailout from Heliconia Capital Management, a unit of Singapore’s sovereign wealth fund, Temasek Holdings for a number of months warning it would face liquidation if it lost today’s vote.

PIL’s financial woes have seen the company sell off a long swathe of assets in the last couple of years. The company’s liner fleet has reduced in size from around 400,000 slots at the start of 2020 to stand at 278,896 slots today, according to data from Alphaliner.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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