Investors that hold third-party asset-backed commercial paper (ABCP) will have the opportunity to vote on the restructuring plan on April 25, according to a statement released on Thursday evening.
The Ontario Superior Court of Justice recently granted an application by the Pan-Canadian Investors Committee for Third-Party Structured ABCP under the provisions of the Companies’ Creditors Arrangement Act (CCAA), establishing a procedure for noteholder approval of the restructuring plan filed by the committee.
Under CCAA provisions, the plan must be approved by a majority in number of noteholders (regardless of the size of their holdings) that vote at the meeting, as well as by noteholders representing not less than two-thirds of the total aggregate principal amount of ABCP that vote at the meeting.
If the plan is approved by the noteholders at the meeting, a further hearing will be held before the Court for its final sanction of the plan.
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The information statement relating to the committee’s restructuring plan and other relevant documents are now available on Ernst & Young Inc.’s ABCP website.
“These documents provide full disclosure on the plan and the nature of the assets supporting each series of the trusts subject to the plan,” says Purdy Crawford, the committee’s chair. “They will enable all noteholders to make an informed decision on the plan.”
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