MADRID, March 27 (Reuters) - Spanish energy firm Abengoa has won the backing of around 75 percent of its creditors to restructure its high debt and seek more time from a court for talks aimed at avoiding bankruptcy, according to a document seen by Reuters on Sunday.
The engineering and energy company, struggling with a 9.4- billion-euro ($10.5 billion) debt pile, is in pre-insolvency talks and would become Spain’s largest ever bankruptcy if it failed to reach an agreement with lenders and bondholders.
Abengoa had until March 28 to win the backing of at least 60 percent of them and convince a Seville court to give the firm an additional seven months to reach the 75 percent creditor acceptance threshold for a wide-ranging debt restructuring plan.
“We have won the backing of 75 percent of financial creditors when we needed 60 percent to present a standstill agreement,” said one of Abengoa’s most senior executive in an email sent on Sunday to other senior staff and which was seen by Reuters.
“Tomorrow at 0900 (0700 GMT) the agreement will be presented to the court in Seville,” he also said.
Abengoa declined to comment. ($1 = 0.8957 euros) (Reporting by Jose Elias Rodriguez; Editing by Julien Toyer)
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