Ahmad Zaki Resources Berhad (AZRB) said its wholly-owned subsidiary Ahmad Zaki Sdn Bhd (AZSB) has applied for a restraining order and a proposed scheme of arrangement with its creditors, as it seeks to restructure its obligations in an orderly manner.
The application seeks to facilitate a compromise or arrangement with AZSB’s creditors through a proposed scheme of arrangement, while the restraining order is intended to provide the subsidiary with protection from creditor legal proceedings and other actions during the restructuring process.
The company said the restraining order would provide AZSB and the wider group with an opportunity to formulate, negotiate and implement the proposed scheme with creditors while preserving the status quo.
It is also intended to minimise potential disruptions to AZSB’s and the group’s businesses and operations arising from creditor actions while the restructuring process is being pursued.
The moratorium will remain in force until the High Court decides on the restraining-order application or for a maximum of two months from the filing date, whichever occurs earlier. Based on the Aug 28 filing, the maximum period would run until Oct 27, 2026.
