AT a crucial meeting in London yesterday, bondholders of Heron

International, Mr Gerald Ronson's property group, who are owed around

#500m, passed the necessary resolutions for a debt restructuring of the

troubled group thus saving it from immediate insolvency.

The property company, whose total debts amount to #1400m, had proposed

a restructuring whereby bondholders were offered 52% of the enlarged

equity and would swap #100 of bonds for #29.80 worth of senior debt,

#7.28 of junior debt, which will both take the form of new bonds, and

6.7949 new shares in Heron.

Heron had said that if the proposals were rejected the group would

face insolvency, which it said would bring in considerably less for

creditors.

The company said that over 80% of the creditors by value and 75% by

number who voted at the meeting accepted the deal. The minimum needed

was 75% in value and a majority by number.

Under the rules of the restructuring, Heron's 82 lending banks did not

vote, having already given their unanimous support to the restructuring

proposals.

Yesterday's meeting must be an encouraging pointer for Heron for the

coming meeting in the Netherlands on June 30 and Curacao on July 5.

These will be voting on the overseas restructuring schemes for Heron

International Finance BV and Heron International NV.

Under the group's refinancing proposals, Heron will work to a seven

year business plan, which envisages the sale of all its property, petrol

stations and the Suzuki franchise by 1997. The company has already

agreed more than #140m of property disposals ahead of scedule.

Mr Ronson, 53, who went to prison over his involvement in the Guinness

affair, is still with the company as chief executive on a salary of

#500,000 for the next five years, rising in line with inflation which

has caused some dissent among creditors. He retains 5% of the company,

with the other 43% going to the banks and there are also generous

pension provisions.