PETALING JAYA: KNM Group Bhd
has secured the approval of its creditors for the company’s proposed scheme of arrangement, marking a step forward in its restructuring exercise.
In a filing with Bursa Malaysia, the oil and gas equipment manufacturer said the court-convened meeting for KNM and its wholly-owned subsidiary KNM Process Systems Sdn Bhd (KNMPS) was held yesterday. Both entities are collectively referred to as the scheme companies.
KNM said the proposal was approved by the requisite majority of 75% of the respective class of creditors of each scheme company, present and voting either in person or by proxy.
The scheme will become binding on the scheme companies and their creditors once it receives a sanction order from the High Court and the order is lodged with the Companies Commission of Malaysia.
KNM added that its solicitors had been instructed to proceed with the sanction application.
The creditors of KNM and KNMPS settled in full through a combination of net cash proceeds from the planned disposal of a 100% equity interest in Deutsche KNM GmbH, a wholly-owned unit of KNMPS in Europe, and the issuance of new five-year zero coupon redeemable non-convertible unsecured loan stock.
