A team of attorneys from global law firm Greenberg Traurig, LLP represented Chilean renewable energy company Inversiones Latin America Power (ILAP) in its comprehensive financial restructuring implemented through a pre-packaged plan of reorganization in a Chapter 11 proceeding.
NEW YORK, Jan. 17, 2024 /PRNewswire-PRWeb/ -- A team of attorneys from global law firm Greenberg Traurig, LLP represented Chilean renewable energy company Inversiones Latin America Power (ILAP) in its comprehensive financial restructuring implemented through a pre-packaged plan of reorganization in a Chapter 11 proceeding. Greenberg Traurig first assisted ILAP in securing a forbearance and standstill agreement with its bondholders in early July 2023, which was subsequently extended. The forbearance provided ILAP with the opportunity to negotiate and agree with the bondholders on the terms of the restructuring transaction.
Greenberg Traurig's attorneys then negotiated the terms of the Restructuring Support Agreement (RSA), which was executed on October 30, 2023 by ILAP, its two operating subsidiary guarantors that operate wind farms, and the ad hoc group of bondholders. The RSA provided key terms and conditions that would govern ILAP's Chapter 11 cases as well as its Chapter 11 plan of reorganization. On November 29, 2023, ILAP's sole creditor under a letter of credit facility agreed to join the RSA. ILAP filed for bankruptcy protection the following day in the U.S. Bankruptcy Court for the Southern District of New York with the RSA in place, which provided enough creditor support for a consensual Chapter 11 plan to be confirmed. On January 3, 2024, U.S. Bankruptcy Judge John P. Mastando III confirmed ILAP's Chapter 11 plan and approved its disclosure statement. On January 12, 2024, ILAP's Chapter 11 plan became effective, and it emerged from the bankruptcy process as a reorganized company.
The restructuring involved the issuance of take-back senior secured notes and convertible notes. In addition, certain ad hoc group members provided exit financing in return for super-priority notes. All of the new notes mature in 2033, and the convertible notes will either be converted into equity of ILAP's direct parent or redeemed in connection with the sale of ILAP.
"Our relationship with ILAP, which began in 2017 with a private placement of debt securities, runs deep. We are extremely pleased to have been able to assist ILAP in this successful debt restructuring and look forward to continuing our work with ILAP and its sponsors in the future," said Marc M. Rossell, co-chair of the firm's Latin America Practice.
"We saw an overwhelming amount of creditor support and an uncontested plan, which allowed the court proceedings to move very quickly," said Oscar N. Pinkas, chair of the firm's New York Restructuring & Bankruptcy Practice. "Congratulations to the entire Greenberg Traurig team for working together to complete this significant restructuring."
The Restructuring & Bankruptcy team was led by Pinkas with support from Shareholders Nathan Haynes, Brian E. Greer, and J. Gregory Milmoe, Of Counsel Leo Muchnik, and Associates Sara A. Hoffman, Emily D. Nasir, and Jessica M. Wolfert.
The Capital Markets, Corporate, and Finance portions of the restructuring were handled by Rossell alongside Shareholders Oscar Stephens and Jared A. Hershberg, and Associates Marc Ochs and Igal Rojzman.
About Greenberg Traurig: Greenberg Traurig, LLP has more than 2650 attorneys in 47 locations in the United States, Europe and the Middle East, Latin America, and Asia. The firm is a 2022 BTI "Highly Recommended Law Firm" for superior client service and is consistently among the top firms on the Am Law Global 100 and NLJ 500. Greenberg Traurig is Mansfield Rule 6.0 Certified Plus by The Diversity Lab. The firm is recognized for powering its U.S. offices with 100% renewable energy as certified by the Center for Resource Solutions Green-e® Energy program and is a member of the U.S. EPA's Green Power Partnership Program. The firm is known for its philanthropic giving, innovation, diversity, and pro bono. Web: http://www.gtlaw.com.
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Nicole Flores, Greenberg Traurig, LLP, 2146653649, [email protected], www.gtlaw.com/en
SOURCE Greenberg Traurig, LLP
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