By Ron Bygness
Houston-based GSE Environmental Inc. announced in a June press release that the U.S. Bankruptcy Court for the District of Delaware has approved the company’s Disclosure Statement filed in connection with a proposed Joint Plan of Reorganization.
The court’s approval of the Disclosure Statement allows GSE to begin a voting process that will lead to a confirmation hearing that was scheduled for July 25, 2014, according to the release. GSE is expected to emerge from bankruptcy shortly thereafter.
The press release noted that: “Following the completion of the restructuring process, GSE will continue to operate as a going concern and will reduce its funded indebtedness by more than $172 million.”
As previously announced, the reorganization plan is supported by 100% of GSE’s first lien lenders who have agreed to convert all outstanding first lien debt to equity, leaving the company positioned for long-term growth as a manufacturer and marketer of geosynthetic lining products.