The Miyazaki District Court announced Friday that the three owners of the Seagaia Resort in Kyushu have completed legal proceedings for starting corporate rehabilitation.
Phoenix Resort Co. and its two subsidiaries sought court protection Feb. 19 with combined debts of 326.1 billion yen.
The three firms have reorganized into two companies and will seek to revive their corporate fortunes under the control of U.S. investment fund Ripplewood Holdings, which purchased Seagaia for 16.2 billion yen in June.
The rehabilitation program, devised by a court-appointed administrator, was approved in August. The group firms paid off their debts. The amount of the debts was reduced by the court at the end of last month.
The international coastal convention resort consists of a 43-story hotel, golf courses, a convention hall and a zoo. It was the venue of last year's Group of Eight foreign ministers' meeting. The Miyazaki Prefectural Government had a 25 percent stake in the resort.