Marconi Group, which has offices in Chelmsford, has announced that its creditors overwhelmingly back the proposed restructuring of the company.

It said more than 90% of its creditors support the plans.

As part of the restructuring, Marconi will hand over control of its business to its banks and bondholders next month which will free up almost £1bn of cash. The company also hopes to raise just under £800m of new cash from the sale of bonds.

Marconi have a strong presence in Chelmsford - namely Marconi Electronic Systems (GEC-Marconi Research Centre, GEC-Marconi Radar and Defence Systems and EEV) and Marconi Communications.

The business now needs clearance from UK and US courts before it is able to list its new vehicle, Marconi Corp, on the London stock exchange. Marconi Corp shares are expected to join the market on May 19.

Published Wednesday, April 23, 2003