Singapore-based telecoms firm ST Telemedia (STT), the largest shareholder in Eircom Ltd, has pulled its proposal to restructure the firm's _3.75 billion debt.
All representatives of the STT have also resigned from the various boards and committees of Eircom and its group's companies.

The developments followed the rejection of the STT's restructuring proposal by Eircom's senior lenders. The proposal was one of the three proposals under consideration by the company's independent directors.

Expressing disappointment over the rejection of its restructuring plan, STT its latest action was taken in the best interest of the group members.

Senior Executive vice president Terry Clontz, of STT's North America and Europe operations, said, "We are disappointed that the First Lien Coordinating Committee did not engage with us at all on this second proposal."

STT's restructuring plan was submitted was tabled earlier this month. STT wanted Eircom's independent directors and senior lenders to restructure the company's debt pile as a part of its efforts to keep hold of the company.

Eircom's independent directors are now discussing a proposal from a consortium of first-lien senior lenders owed _2.5 billion.