Creditors of Mainboard-listed Advance SCT voted unanimously in favour of the company’s proposed debt-restructuring scheme at a creditors meeting held on 30 September 2010.

Advance SCT’s main business is in metal trading and resource recycling as well as wastes management. Advance SCT’s financial difficulties arose when commodity prices fell drastically in 2008. These financial difficulties were exacerbated in 2009 during the global financial crises, with debts increasing in excess of $80 million.

The creditors have appointed Neo Ban Chuan and Cameron Duncan of KordaMenthaNeo as scheme administrators. The legal advisor of Advance SCT, Bernard Tan of Bih Li & Lee shall be submitting the debt-restructuring scheme to the High Court for approval shortly.

Executive Chairman of Advance SCT, Simon Eng stated after receiving the endorsement that he “was pleased with the overwhelming support received from creditors and was grateful for the hard work of the company’s management and advisers in preparing the scheme”.

Eng added that the debt restructuring was the last major obstacle in the turn-around of Advance SCT, which reported a profit in its half-year unaudited financial statement in August 2010 after losing a total of more than $190 million in 2008 and 2009.