Pan Brothers Closes In on $537 Million Debt Restructuring
- Creditors to vote on latest restructuring plan on Wednesday
- Government won’t bail out company if it’s declared bankrupt
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Distressed textile giant PT Pan Brothers is closing in on its debt restructuring after seven months of negotiation with creditors, according to people familiar with the matter, as it works to avoid becoming the second Indonesian clothesmaker to be declared bankrupt this year.
Creditors will vote Wednesday on the latest 8.6 trillion rupiah ($537 million) restructuring proposal by Pan Brothers, Bloomberg News reported earlier. It initially sought to take votes last month, but delayed the process after facing push-backs from some creditors including SC Lowy, as they demanded better terms, according to the people familiar who declined to be identified.