Silver Bird bird seek support for revamp

Silver Bird Group Bhd, which is currently undergoing a forensic audit, intends to seek the support of its bank lenders, major creditors and shareholders to undertake a proposed corporate and debt restructuring scheme (PCDRS).

In this connection, the Special Committee of Silver Bird Group said the PCDRS will be or has been forwarded to the creditors and shareholders of the group for discussion purposes.

The scheme essentially envisages a proposed capital reduction, rights issue, a debt settlement which incorporates a cash repayment, the terming out of part of the liabilities, debt to equity conversion and waiver of debts that are no longer supported by assets, as well as the proposed liquidation of
subsidiary companies that are no longer essential to the future operations of the group.

The group, in a filing to Bursa Malaysia here said the full particulars of the regularisation plan as required under Practice Note 17 will be announced by a Principal Adviser to be appointed, in due course.

This is after taking into consideration the feedback of bank lenders, major creditors and shareholders of the group.

Based on the information available as to date, the Special Committee does not foresee any further material adjustments to the accounts of the group.

As at Oct 31, 2011, the shareholders fund of Silver Bird group stood at RM213.423 million but was at negative RM83.661 million at February 29, 2012.

The forensic investigation report is expected to be finalised by May 29 this year. -- BERNAMA