A pre-packaged bankruptcy filing by General Maritime may be imminent according to a company alert issued by Deutsche Bank.
The German bank is suspending its recommendation and estimate for General Maritime due to the likelihood of a Chapter 11 filing.
The cash strapped tanker company is said to be preparing a Chapter 11 filing that will see Oaktree Capital Management pump $175 million of new equity into the Peter Georgiopoulos led venture.
A pre-packaged bankruptcy is one where a work out plan is already in place at the time of the filing potentially simplifying and shortening any reorganisation and rescue.
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