Southcross Holdings Files Prepackaged Reorganization Plan

(RTTNews) - Southcross Holdings LP announced that it has filed a pre-packaged plan of reorganization under Chapter 11 of the U.S. Bankruptcy Code or the "POR" in the Southern District of Texas to continue its financial restructuring. If approved, the POR is expected to result in the elimination of almost $700 million of funded debt and preferred equity obligations of Holdings along with a new equity investment from certain of its existing equity holders.

Southcross Holdings anticipates that, among other things, it will receive court authority to continue to pay all of its trade creditors, suppliers and contractors in the ordinary course of business and any amounts owed by Holdings to these parties will not be impacted by the Proceedings.

Southcross Energy Partners, L.P. and its subsidiaries are not included in the Proceedings and their operations and employees, customers, suppliers, partners, and other constituents are not affected. Southcross Energy Partners GP, LLC is also not a part of the Proceedings.

On March 21, 2016, Southcross Holdings commenced solicitation of votes for the POR. As of this morning, 100% of the votes that have been submitted in every voting class have accepted the POR. As a result, Holdings now has sufficient votes in both number and amount to carry every voting class under the POR. The deadline to vote to accept the POR is 4:00 P.M. Eastern Time today.