Bahrain-based Arcapita Bank, the first Gulf company to file for bankruptcy in the United States under Chapter 11 rules, said on Saturday it had submitted a plan to reorganise the company.

The investment firm filed for bankruptcy in New York in March and was given court approval in November to take out a $125 million sharia-compliant loan to provide funding while it restructured its debts.

Arcapita's case is being closely watched in the Gulf, where companies have little recourse to orderly ways of dealing with insolvency.

However, analysts have said few other bankrupt Gulf companies are likely to follow Arcapita in seeking Chapter 11 protection because they would need to prove strong links to the United States.

The plan, filed with the court handling the chapter 11 case in New York, "represents the most effective way to implement a comprehensive restructuring ... and maximise recoveries to creditors and other stakeholders", the bank said in a statement.

It will be the subject of a hearing within 45 days and must then be approved by creditors, the bank added.-Reuters