MONTERREY, Mexico, April 27 (Reuters) - Mexican homebuilder Geo said on Monday its main creditors have approved its debt restructuring plan, which the firm hopes will allow it to exit bankruptcy proceedings.
Shares in the company, formerly Mexico’s no. 1 homebuilder, have been suspended since 2013 for not reporting financial statements. Geo went into bankruptcy protection last April.
Under the restructuring plan, 88 percent of Geo’s share capital will be distributed among its creditors, 8 percent to its current shareholders, and 4 percent to the administration.
The plan was backed by creditors holding 74.43 percent of Geo’s debt, the company said in a statement.
It must still be approved by current shareholders in a meeting scheduled for May 6, and the judge overseeing the bankruptcy proceedings. (Reporting by Gabriela Lopez; Editing by Muralikumar Anantharaman)