Application for sanctioning a scheme of arrangement (Re PGS ASA)

Table of contents

• What are the practical implications of this case?
• What was the background?
• What did the court decide?
• Case details

Article summary

Restructuring & Insolvency analysis: This was an application by PGS ASA (PGS) for the sanctioning of a scheme of arrangement (the Scheme) after a meeting of all creditors (Scheme Creditors). PGS were going through financial difficulty due to the coronavirus (COVID-19) pandemic and as a result, had to apply for a scheme of arrangement to extend the repayment date of their existing debt. In this application, Mr Justice Miles highlights the points taken into consideration for sanctioning a scheme of arrangement. These considerations follow the decision given by Mr Justice Snowden in Re KCA Deutag UK Finance plc (KCA Deutag). Written by Mathew Newman, partner and Tobi Oluborode, trainee solicitor, both of Ogier LLP.