Essar Steel Algoma Inc. and 5 of its affiliates (collectively, "Algoma”) have commenced a restructuring proceeding (the “Canadian Proceeding”) in the Ontario Superior Court of Justice (Commercial List) (the “Canadian Court”) under the Companies’ Creditors Arrangement Act (the “CCAA”).
On November 9, 2015, Algoma and 4 of its affiliates (collectively, the “Original Algoma Debtors”) commenced the Canadian Proceeding to restructure Algoma’s finances while continuing normal operations under the protections offered by the CCAA. Algoma has secured “debtor in possession” or “DIP” financing totaling $200 million from a syndicate of lenders with Deutsche Bank AG New York Branch as the agent to provide it further liquidity. The Canadian Court has appointed Ernst & Young Inc. to serve as the Monitor in the Canadian Proceeding.
On the same day they commenced the Canadian Proceeding, each of the Original Algoma Debtors filed a voluntary petition under chapter 15 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”). The chapter 15 cases are ancillary proceedings, through which Algoma has sought to have the relief granted by the Canadian Court in the Canadian Proceeding be recognized and enforced in the United States. Algoma's chapter 15 cases are jointly administered under one lead case, Case No. 15-12271.
Subsequently, on November 19, 2015, Algoma Holdings B.V. also filed an application under the CCAA in the Canadian Proceeding and, on November 20, 2015, filed a voluntary petition under chapter 15 of the United States Bankruptcy Code in the Bankruptcy Court. The Bankruptcy Court has ordered that Algoma Holdings B.V.’s case shall be jointly administered under Case No. 15-12271 and that certain prior orders entered in the lead case with respect to the Original Algoma Debtors shall apply to Algoma Holdings B.V. as well.
For further information regarding the Canadian Proceeding, please contact Ernst & Young Inc., the Monitor, at email@example.com or by phone at 855-941-1820 (United States & Canada) or 416-941-1820 (International), or visit the Monitor’s website at www.ey.com/ca/essaralgoma.
For further information regarding the chapter 15 cases, please contact Prime Clerk LLC, Algoma’s claims and noticing agent, at firstname.lastname@example.org, by submitting an inquiry at the link above, or by phone at 844-205-4336 (United States & Canada toll free) or 917-962-8385 (International).
Important Information & Dates
Hearing on First Day Motions
Hearings on the Original Algoma Debtors’ and Algoma Holdings B.V.’s First Day Motions were held on November 10, 2015 at 1:00 p.m. (ET) and November 23, 2015 at 2:15 p.m. (ET), respectively, before the Honorable Brendan L. Shannon in the Bankruptcy Court.
Please click below to view and download Algoma's First Day Motions and Orders:
Final Recognition Granted
The court has approved the Debtors’ chapter 15 petitions and the relief requested on a final basis. The relief granted includes recognizing the Canadian Proceeding as a foreign main proceeding under chapter 15 of the Bankruptcy Code and giving full force and effect to orders entered in the Canadian Proceeding.
Submitting a Claim
The Ontario Superior Court of Justice (Commercial List) has approved a claims procedure that sets claims bar dates and will govern the submission and reconciliation of all claims against Algoma. Please click below for further information regarding how to submit a claim.
Sale and Investment Solicitation Process
The Ontario Superior Court of Justice (Commercial List) has approved a Sale and Investment Solicitation Process (the "SISP"). Please click below for a copy of the order.
Deadline to File Prefili...
First Day Hearing
Recognition Hearing for Algoma Holdings, B.V.
Omnibus Hearing - Cancelled
Deadline to File Prefiling Claims
Algoma's U.S. Counsel
Weil, Gotshal & Manges LLP
767 Fifth Avenue
New York, NY 10153
Ray C. Schrock, P.C.
Matthew S. Barr
Richards, Layton & Finger, PA
One Rodney Square, 920 North King Street
Wilmington, DE 19801
Mark D. Collins
Daniel J. DeFranceschi
Amanda R. Steele
Algoma's Canadian Counsel
Stikeman Elliott LLP
5300 Commerce Court West
199 Bay Street
Toronto, ON M5L 1B9
Ashley John Taylor
United States Trustee and Court Information
Office of the United States Trustee
844 King Street, Suite 2207
Wilmington, DE 19801
United States Bankruptcy Court
District of Delaware
824 Market Street North, 3rd Floor
Wilmington, DE 19801
|15-12271||Essar Steel Algoma Inc.||November 09, 2015|
|15-12270||Essar Steel Algoma Inc. USA||November 09, 2015|
|15-12273||Essar Steel Algoma (Alberta) ULC||November 09, 2015|
|15-12274||Essar Tech Algoma Inc.||November 09, 2015|
|15-12272||Cannelton Iron Ore Company||November 09, 2015|
|15-12349||Algoma Holdings B.V.||November 20, 2015|