News Room - Steel Industry

Posted on 22 May 2008

Lion and Amsteel plan revamp

The Lion Group announced yesterday that its companies, namely Lion Corporation Bhd (LCB) and Amsteel Corporation Bhd (ACB)/Amsteel Harta (L) Ltd, are proposing to undertake a corporate and debt restructuring scheme (CDRs) to address their respective debt obligations.

The proposed plan which will allow the Lion Group to restructure and reduce its debts, will entail the conversion of LCB bonds/debts into LCB shares/redeemable convertible secured loan stocks, disposal of properties and LCB bonds by ACB, disposal of 11.1% stake in Megasteel Sdn Bhd by LCB, rescheduling of the ACB and LCB bonds/debts, and issuance of new warrants by LCB to its existing shareholders.