Bankruptcy

Murray Energy Successfully Consummates Going-Concern Sale Transaction

Thursday, September 17, 2020 - 1:08am

Murray Energy Holdings Co. and its subsidiaries (collectively, Murray) announced today that its chapter 11 plan (the Plan) became effective as of September 16, 2020, and that it has successfully completed a sale of substantially all its assets to a privately held company owned by a group of its former creditors.

Key Points: 
  • Murray Energy Holdings Co. and its subsidiaries (collectively, Murray) announced today that its chapter 11 plan (the Plan) became effective as of September 16, 2020, and that it has successfully completed a sale of substantially all its assets to a privately held company owned by a group of its former creditors.
  • The United States Bankruptcy Court for the Southern District of Ohio (Western Division) (the Court) approved the Plan on August 31, 2020.
  • Through the restructuring process, Murray effectuated the sale of substantially all of their assets to American Consolidated Natural Resources, Inc. (ACNR), a new entity formed at the direction of an ad hoc group of Murrays superpriority term loan lenders.
  • In addition, ACNR will manage and operate the Foresight Energy mines and the Murray Metallurgical mines through two separate management services agreements.

COVID Consumer Debt: Nearly Half of Canadians Plan to Take on More Debt When Pandemic Financial Support Ends (+10 pts)

Wednesday, September 16, 2020 - 1:08pm

Amidst all the uncertainty the pandemic has caused, one thing is certain: the underlying debt problems faced by Canadians have not gone away.

Key Points: 
  • Amidst all the uncertainty the pandemic has caused, one thing is certain: the underlying debt problems faced by Canadians have not gone away.
  • For the most financially vulnerable, the pandemic will likely thicken the debt quicksand they were previously trapped in, explains Bazian.
  • According to the survey, about one in ten Canadians currently receiving COVID-related benefits (11%, +5) indicate they will declare bankruptcy if the financial support ends.
  • Two in ten (21%) homeowners who are currently receiving government financial support say they will need to defer their mortgage payments if government financial support ends.

TechCrunch Disrupt Semi-Finalist SoloSuit Announces Nationwide Expansion of its Debt Collection Defense Resource

Tuesday, September 15, 2020 - 8:01pm

The U.S. debt market is big business with debt collection agencies buying and selling debt for pennies on the dollar.

Key Points: 
  • The U.S. debt market is big business with debt collection agencies buying and selling debt for pennies on the dollar.
  • Research by Pew on debt collection lawsuits from 2010 to 2019 has shown that less than 10% of defendants have legal counsel compared to nearly all plaintiffs.
  • Simons adds that 52% of all debt collection actions in the United States include medical expenses and warns of a likelihood of increased debt collection lawsuits as a result of COVID-19.
  • Launched in 2018, SoloSuit is a Provo, Utah-based legal tech startup that provides debt collection defendants with an online resource to prepare a response to a debt collection lawsuit and provide filing instructions.

Lonestar Resources US Inc. Announces Restructuring Support Agreement

Tuesday, September 15, 2020 - 10:30am

Lonestar Resources US Inc. (the Company or Lonestar) (NASDAQ: LONE) today announced that it and certain of its direct and indirect wholly-owned domestic subsidiaries (collectively with the Company, the Debtors) have entered into a Restructuring Support Agreement (the Support Agreement) with its largest stakeholders that will eliminate approximately $390 million in aggregate debt obligations and preferred equity interests.

Key Points: 
  • Lonestar Resources US Inc. (the Company or Lonestar) (NASDAQ: LONE) today announced that it and certain of its direct and indirect wholly-owned domestic subsidiaries (collectively with the Company, the Debtors) have entered into a Restructuring Support Agreement (the Support Agreement) with its largest stakeholders that will eliminate approximately $390 million in aggregate debt obligations and preferred equity interests.
  • The Company is confident, based on the Support Agreement, that it will be able to meet its financial commitments and otherwise continue to operate its business as usual throughout the restructuring period.
  • The Support Agreement contemplates that the Company will continue operating its business without disruption to its customers, vendors, partners or employees.
  • In addition, the Support Agreement contemplates that unsecured trade creditors will be paid in full under the Plan.

G2 Capital Advisors Grows Restructuring Practice With Four New Hires Including Nate McOmber As Director

Wednesday, September 9, 2020 - 6:10pm

BOSTON, Sept. 9, 2020 /PRNewswire/ -- G2 Capital Advisors is proud to announce the continued expansion of its team with the addition of Nate McOmber, who joins the firm's Restructuring and Revitalization Practice as Director of Restructuring based out of G2's San Francisco office.

Key Points: 
  • BOSTON, Sept. 9, 2020 /PRNewswire/ -- G2 Capital Advisors is proud to announce the continued expansion of its team with the addition of Nate McOmber, who joins the firm's Restructuring and Revitalization Practice as Director of Restructuring based out of G2's San Francisco office.
  • "Nate brings deep technical expertise paired with an operational background that will help our clients navigate complex restructuring dynamics.
  • "Nate coming to G2 is the next step in our continued strategic investment in the breadth and depth of our financial advisory team.
  • Since February, G2 has added three additional new team members to its Restructuring & Revitalization Practice.

Judge Judith K. Fitzgerald to Receive the 2020 American Inns of Court Bankruptcy Inn Alliance Distinguished Service Award

Wednesday, September 9, 2020 - 2:15pm

has been selected to receive the prestigious 2020 American Inns of Court Bankruptcy Inn Alliance Distinguished Service Award .

Key Points: 
  • has been selected to receive the prestigious 2020 American Inns of Court Bankruptcy Inn Alliance Distinguished Service Award .
  • Judge Fitzgerald is a leader on a national level in the bankruptcy and insolvency field, says Alexis A. Leventhal, Esquire, of Reed Smith LLP, who nominated Fitzgerald for the award.
  • Appointed as a bankruptcy judge in 1987, Fitzgerald oversaw the bankruptcies of thousands of individuals and the reorganizations of hundreds of businesses.
  • Named in her honor, the Judith K. Fitzgerald Western Pennsylvania Bankruptcy American Inn of Court offers a structured mentorship program for bankruptcy practitioners.

KBRA Partners with Professor Edward Altman to Launch KBRA Altman

Wednesday, September 9, 2020 - 1:35pm

Kroll Bond Rating Agency (KBRA) has partnered with a foremost authority on corporate bankruptcy and default, Professor Edward Altman, to launch KBRA Altman.

Key Points: 
  • Kroll Bond Rating Agency (KBRA) has partnered with a foremost authority on corporate bankruptcy and default, Professor Edward Altman, to launch KBRA Altman.
  • To navigate this challenging environment, KBRA is fortunate to have forged a strategic relationship with one of the leading experts on the credit markets, New York University Professor Edward Altman.
  • Dr. Altman is the creator of the world-famous Altman Z-score models for corporate bankruptcy prediction globally.
  • Distressed investors will be able to use the KBRA Altman indexes to benchmark performance.

AltaLink, L.P. to Issue $225 Million in Senior Secured Notes

Tuesday, September 8, 2020 - 10:15pm

The syndicate also includes National Bank Financial Inc., TD Securities Inc., ATB Capital Markets Inc., and Casgrain & Company Limited.Distribution of the Senior Secured Notes is expected to occur on September 11, 2020.

Key Points: 
  • The syndicate also includes National Bank Financial Inc., TD Securities Inc., ATB Capital Markets Inc., and Casgrain & Company Limited.Distribution of the Senior Secured Notes is expected to occur on September 11, 2020.
  • The Senior Secured Notes will be secured by a first floating charge security interest in the present and future property and assets of AltaLink.
  • The Senior Secured Notes rank pari passu with all senior, secured indebtedness and have priority over all present and future unsecured indebtedness and all subordinated indebtedness.
  • The net proceeds from the issue and sale of the Senior Secured Notes will be used to repay $125.0 million of 3.621% Series 2013-2 Medium-Term Notes due September 17, 2020, repay AltaLinks short-term indebtedness, including indebtedness outstanding under its Commercial Paper Program, and for general corporate purposes.

VidAngel Set to Emerge from Bankruptcy After Settling Historic Copyright Battle with Disney and Other Studios

Friday, September 4, 2020 - 10:15pm

The agreement, which allows VidAngel to now fully emerge from bankruptcy, was finalized in Utah's bankruptcy court.

Key Points: 
  • The agreement, which allows VidAngel to now fully emerge from bankruptcy, was finalized in Utah's bankruptcy court.
  • As with any compromise, we had to make painfully difficult concessions to arrive at this agreement, as did Disney and Warner Brothers.
  • Disney and Warner Brothers have agreed to compromise and substantially discount the $62.4 million-dollar District Court judgment against VidAngel.
  • VidAngel has agreed not to decrypt, copy, stream or distribute content of Disney, Warner Brothers, and their affiliates without permission from the Studios.

Auto Dealer Group to Cease Business Operations As Part of FTC Settlement

Friday, September 4, 2020 - 10:01pm

A group of auto dealerships in Arizona and New Mexico must cease business operations as part of a court-approved settlement resolving Federal Trade Commissioncharges that the dealerships deceived consumers and falsified information on vehicle financing applications.

Key Points: 
  • A group of auto dealerships in Arizona and New Mexico must cease business operations as part of a court-approved settlement resolving Federal Trade Commissioncharges that the dealerships deceived consumers and falsified information on vehicle financing applications.
  • The settling defendants are currently in Chapter 7 bankruptcy proceedings and are under the control of a bankruptcy trustee.
  • The settlement includes a monetary judgment of $7,203,227 against the defendants and makes the Commission an unsecured claimant in the bankruptcy proceedings.
  • The settlement was approved and entered in the U.S. District Court for the District of Arizona.