Certain creditors seeking to force Satelites Mexicanos S.A. de C.V. (Satmex) to file for bankruptcy in the United States have agreed to withdraw their petition for an involuntary Chapter 11 filing, the debtholders announced late July 29.

Committees of Satmex debtholders filed the petition in May in the U.S. Bankruptcy Court for the Southern District of New York. Satmex filed for concurso mercantil, a proceeding in Mexico similar to a bankruptcy proceeding in the United States, in June.

According to the committees that represent the U.S. debtholders, the new agreement calls for Satmex to file a petition under section 304 of the U.S. Bankruptcy Code in the U.S. court. Section 304 allows a foreign debtor to commence a proceeding that is or related to a foreign proceeding and allows a U.S. Bankruptcy Court to protect assets or property of a debtor located in the United States by issuing an injunction preventing any action against that property.

The committees have reserved the right to make a motion in the U.S. Bankruptcy Court seeking the dismissal of the 304 petition or the termination of any injunction ordered by the court upon the occurrence of certain conditions, including any attempt to revoke or terminate Satmex’s concessions, the failure of Satmex to present a restructuring proposal to the committees by Oct. 31 or the failure to launch Satmex 6 by June 30, 2006.