CSC Phoenix’s first restructure plan fails

Shanghai: CSC Phoenix today announced the update of the creditors’ meeting which was held on December 30, regarding the restructure of the company.

There were 130 creditors with voting rights attending the meeting, 120 of them representing RMB3.45bn debt agreeing to the draft restructure plan. However, the amount of debt they represent didn’t exceed 2/3 of the total amount of the company’s debt, which means the restructure plan failed to pass.

According to Chinese bankruptcy law, the two groups of creditors which have different opinions could negotiate with each other and have a final vote.

CSC Phoenix said the company will suspend listing from the stock exchange if the creditors didn’t pass the restructure plan eventually or if the court announces the bankruptcy of the company. [03/01/14]

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