Court defers Thai Airways restructuring hearing

The Thai Central Bankruptcy Court has deferred the final hearing, and consequently a ruling, concerning Thai Airways International’s proposed restructuring plan after two unnamed creditors objected to the strategy, the airline said in a stock market filing. The final session was originally due to take place on May 28, 2021, but has now been rescheduled for June 15, 2021. Thai Airways filed its restructuring plan on March 2, 2021; the last day permitted by Thai bankruptcy law. It subsequently secured the approval of creditors holding 91.56% of Thai’s total debt on May 19, after this meeting was also postponed due to objections from some minor creditors. Even though the plan was approved by the vast majority of claimants, the final green light has to be issued by the court, which will take into consideration the merits of the objections filed by the small creditors rather than just their proportional share. It is not clear whether the remaining objectors were among the twenty that had delayed the creditors’ vote or not. The airline also did not disclose which parts of the restructuring plan had been vetoed. Thai Airways and its creditors have until June 15 to clarify their positions to the court. In the filing, Thai Airways said that it will continue with the execution of the plan pending final court approval.