A Brazilian court has accepted a request by pellet producer Samarco and will protect the company from any debt execution within the next six months, a media report by Reuters said this week. The six-month period will count effectively from October 10 onward.
Samarco filed the request to prevent the execution of any debt or other financial legal proceedings, such as asset freezes. With the court decision, Samarco can continue negotiations with its creditors.
Earlier this year, a judge accepted Samarco’s request for bankruptcy protection, which shields the company from bankruptcy and allows it to restructure its debt and eventually get out of bankruptcy.