Arcapita Files Reorganization Plan With $185M Exit Financing

Bahrain's bankrupt Arcapita Bank BSC, after negotiations with creditors, filed in New York bankruptcy court on Friday a proposed Chapter 11 reorganization plan that calls for a $185 million exit financing package. According to the bank the package will allow it to wind down its operations, sell off its assets and maximize recovery for creditors. Arcapita will set up new operating companies and most unsecured creditors will give up their claims in exchange for equity in the new company.