Argentina’s Ultrapetrol has got the go ahead from a US bankruptcy court to embark on a quick chapter 11, with South American private equity firm Southern Cross Group tipped to acquire most of the business.
Under Ultrapetrol’s resturcuting plan, Southern Cross subsidiary Sparrow Capital Investments would acquire Ultrapetrol’s largest business – its river barge unit – for $73m.
Ultrapetrol’s river business has 685 barges and the Punta Alvear shipyard in Argentina.
Ultrapetrol’s other assets include OSVs, product tankers and boxships. It filed for chapter 11 last week with debts of more than $500m.