Oi Brasil obtains approval of recovery plan
Client(s) Oi Brasil Holdings Cooperatief Trustee
Jones Day represented the trustee of Oi Brasil Holdings Coöperatief, a subsidiary of the Brazilian telecom giant Oi S.a., who filed for bankruptcy protection in 2016. The trustee filed a motion in July 2017 for an order recognizing the Dutch bankruptcy proceeding as the foreign main proceeding, as well as recognizing the insolvency trustee as the foreign representative after a number of the client's creditors began to take action against it in the Netherlands, which culminated in a Dutch bankruptcy proceeding for the entity.
The U.S. Bankruptcy Court for the Southern District of New York denied and dismissed the motion in December 2017 and an appeal was later filed by the insolvency trustee in January 2018. The matter was concluded through a successful settlement of all issues to the trustee's satisfaction with Oi Brasil complying with the Brazilian and Dutch proceedings. In June 2018, the company's recovery plan was confirmed and $4 billion in new financing was arranged.