The Mexico City courts have ordered Sapura Energy Mexico unit Sapura Energy Mexicana Sociedad Anónima Promotora de Inversión de Capital Variable, a wholly owned subsidiary of Sapura Offshore Sdn Bhd and SapuraMex Pte Ltd which are both ultimately wholly owned subsidiaries of Sapura Energy Berhad be declared bankrupt.
This came when SEM filed for a restructuring in December 2022, by a judgment in April 2023 the Court declared SEM to be in commercial insolvency and the conciliation phase was initiated. The conciliation phase was for a period of 6 months and capable of being extended twice, each extension being for 3 months. SEM then applied to the court for a second extension of the conciliation phase as SEM was close to reaching the 51% of the votes of its creditors necessary to restructure the Debt. The Judge resolved that the extension petition was not properly signed by the required majority, because it resolved that certain powers of attorneys were insufficient, and automatically issued a bankruptcy declaration.
Sapura Energy said SEM is not a major subsidiary of the company the total investment is USD 675.00.
SEM is preparing an appeal against the Bankruptcy Declaration, citing the improper rejection by the Court of the extension request of the conciliation phase. It had also reached an agreement with the required majority of its creditors, it intends to refile the restructuring agreement to facilitate the restructuring debtsand lift the Bankruptcy Declaration.
