Brunswick Rail Ltd., the Russian railcar lessor struggling to repay foreign debt following a plunge in the ruble, issued a last-ditch bond-restructure plan after talks with creditors broke down.

The company is giving holders of $600 million of bonds due in November next year the option of either cashing out 51 percent of the notes’ face value in rubles or getting a 38 percent payout and new payment-in-kind notes, also in rubles, which would give creditors the right to acquire as much as 25 percent of equity, according to a Brunswick statement.

Brunswick Rail halted negotiations with a group of bondholders on Friday after both sides rejected proposals to restructure the debt. Talks had started in January after a 50 percent decline in the ruble since 2014 increased the cost of repaying debt in foreign currencies. The new proposal is “subject to further structuring, discussions with noteholders and market conditions,” according to the statement.

Earlier this month, the company offered creditors -- which include VR Capital Group Ltd. and Pacific Investment Management Co. -- an all-cash swap valued at about 48 percent of the bonds’ principle and an exchange involving cash, pay-in-kind debt and warrants for 25 percent of Brunswick Rail’s enlarged equity. The plan was backed by a new 20-billion ruble ($307 million) credit facility provided by VTB Bank OJSC in exchange for a $15 million capital increase.

A counterproposal by bondholders requiring the payment of up to 60 percent of the debt in cash, PIK notes and 49 percent control of the company was rejected by management.

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