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Acclaimed American poet Carl Sandburg once said, “If the facts are against you, argue the law. If the law is against you, argue the facts. If the law and the facts are against you, pound the table and yell like hell.”
After a six-year odyssey, Serta Simmons’ excluded lenders have claimed victory with just such a strategy following Judge Christopher Lopez’s decision issued this week.
Let’s look at the facts. Way back in 2020, the excluded lenders, initially Angelo Gordon, Apollo and Gamut, all traded into the company’s debt as it was reaching distressed levels. Looking to gain further advantage, these lenders were the first parties to propose a non-pro-rata transaction. Eaton Vance, one member of the group that became known as the participating lenders — most of whom purchased their loans at or around par — reached out to Apollo “to try to stop what was described as a ‘race to the bottom’” and suggested working together. This offer was rebuffed. Eaton Vance and the participating lenders then had the chance to return the favor when Serta went with their deal instead; and the excluded lenders came crawling back offering $30m to try to stop the transaction. When that failed, the excluded lenders sued.
Not exactly a fact pattern that screams “sympathetic party”.
Let’s look at the law. At the time, open market purchases were regularly used to implement non-pro-rata transactions among private parties, even if not universally accepted as kosher. Judge David R Jones even said “the term ‘open market purchase’ was ‘clear and unambiguous,’ and the 2020 Uptier was a valid ‘open market purchase’ under the exception to pro-rata sharing provided for in § 9.05(g).”
Accordingly, the excluded lenders were an unlikely favored party under the law.
It seemed like all that was left for the excluded lenders to do was to continue pounding the table and yell like hell. And yell like hell they did. They appealed and kept on fighting.
And then, it worked.
Momentum changed with the Fifth Circuit’s decision reversing Judge Jones — naturally there was a lot that happened in between these two decisions, but we’ve spilled enough ink on that previously.
Judge Lopez was then given the task of putting the final nail in the coffin on remand. The tables were reversed and it was now the participating lenders’ turn to have to fight the facts and law in a new unfavorable light. And they did. They put up multiple defenses: ratification, in pari delicto/unclean hands, and mitigation, but ultimately Judge Lopez, viewing the facts and the law through the lens the Fifth Circuit passed down, sided with the excluded lenders. He then went with possibly the most generous interpretation of the size of the payout, awarding $261.13m in damages, plus 9% prejudgment interest running from 22 June 2020 to be paid to the excluded lenders.
So what does this all mean? Did Judge Lopez get it right — and what does it signal for the future of LMEs?
Practitioners have been quick to weigh in.
On damages, one restructuring attorney called the award “pretty draconian,” pointing to both the methodology (measuring against what the majority group received) and the compounding effect of 9% prejudgment interest dating back to 22 June 2020. The concern is that what could have been a far smaller “true-up” payment at the time has ballooned into something that feels less like compensation and more like punishment. “This is a cautionary tale to say the least.”
Beyond the dollar figure, the broader debate is whether the ruling nudges the market back toward more inclusive, pro rata structures — or simply forces dealmakers to be more explicit. Douglas Mintz, a partner at Hogan Lovells Cadwalader, framed it as a clear win for broadly pro rata outcomes: “This is a vital strike in favor of structuring deals to be broadly inclusive on a pro rata basis whether in-or-out of bankruptcy court.”
Others expect non-pro rata transactions to persist, but with lawyers being forced to take less inventive document reads. The common thread in recent rulings is a more textualist approach: courts are less willing to infer limits or permissions that aren’t written clearly.
As Jane VanLare, a partner at Cleary Gottlieb commented, “the court's refusal to read a ‘cash’ limitation into the pro rata payment provision — emphasizing that ‘the parties knew when and how to include cash when they wanted to’ — underscores the increasingly textualist approach courts are taking in LME litigation and yet again emphasizes the importance of careful drafting of these provisions.”
Michael Torkin, head of US restructuring at Linklaters, echoed the practical implication of that shift: “Credit agreements are commercial documents, not linguistic puzzles. Being too cute with drafting can have real consequences.” In other words, if the documents don’t clearly authorize the intended mechanics, sponsors and participating creditors may face greater litigation risk.
Michael Handler, a partner at King & Spalding, noted, “One of the takeaways is that it could chill non-pro rata LMEs that are debatable in their permissibility.” Similarly, Mark Indelicato, Managing Partner of Thompson Coburn's New York office said, “Creativity in the legal community is encouraged and needed, but creativity has its limits. Gone is the thought that a restructuring that’s successful should be done at all costs.”
Still, not everyone sees a regime change. Some argue the market has been “post-Serta” for years.
“For the parties involved in the Serta transaction, this decision is obviously a very big deal. But for the market more broadly, it may prove to be a bit of a tempest in a teapot,” said Damian Schaible, co-head of restructuring at Davis Polk.
”We have always know that in term loans (unlike in bonds), excluded lenders may have the ability to sue participating lenders directly, and the market moved away from using traditional open market repurchases after the original Fifth Circuit decision. And many sponsors at new issue have been ‘fixing’ this issue by expressly permitting non pro rata privately negotiated purchases.”
Whether justice has been achieved is and always will be up for debate here — but no-one can argue that Sandburg would certainly view the whole tale as poetic.
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News for the last two weeks
Escaped kids, hidden abuse — What happens when private equity enrolls in daycare? — Private equity firms own eight out of 10 of the country’s largest daycare chains, but parents and former employees said they’ve been plagued with safety failures and chronic understaffing.
Charles Noel-Johnson — Restructuring veteran Charles Noel-Johnson passed away at age 50 on 5 June. Noel-Johnson had over two decades of experience advising corporates, sponsors, and investors on a wide range of capital structure assignments.
Chapter 11 pulse — 1H 26 — DISH DBS, QVC Group, and Multi-Color rank as the three largest Chapter 11’s to have emerged this year. SDTX remains as the go-to-court dominating in both count of company filings and amount of debt supervised. Consumer discretionary comes out as the leading sector with the most emerging bankruptcies this year so far.
LME turnarounds — LMEs from Carvana, PetSmart, and Lumen were genuine corporate turnarounds, bucking the trend of LMEs just delaying the inevitable of a Chapter 11 filing.
Cloud 9fin — The beginning of 2026 was driven by Anthropic’c Claude Code triggering a software sell-off that is still reshaping private credit, BSL, and distressed debt. In the latest episode of Cloud 9fin, reporters Dan Mika, Anna Russi and Samantha Stokes discuss the first half of the year and what could unfold during the rest of 2026.
BDCs — Short sellers are piling into one of the few ways to make public bets against private credit: listed business development corporations. Short interest in BDCs is surging ahead of earnings season, according to new research.
Escape from LA — Entertainment industry reels amid Hollywood production decline — Tinseltown is starting to lose some of its luster as major studios produce fewer movies and televisions and shift production away to cheaper locales. That could spell trouble for companies that rely on Hollywood to survive.Tinseltown is starting to lose some of its luster. Major studios are producing fewer movies and television shows following the end of the streaming boom in 2022. Shrinking budgets have also caused more productions to move filming outside of Los Angeles to keep costs down. The long-term impact of AI could spell trouble for the companies that rely on Hollywood to survive. Cast & Crew and Entertainment Partners have seen lenders organize amid weak earnings and slipping debt prices. Then there are the real estate companies that own soundstages and studios scattered around Hollywood. Hudson Pacific Properties has been selling off some of its Los Angeles soundstages, which have been a drag. Another studio owner, Hackman Capital Partners, has also been struggling with issues throughout its portfolio.
Pulp and paper — 9fin evaluated the pulp and paper sector for recent trends amidst the move towards recycled packaging and conducted a deep dive on three situations in the sector worth evaluating by investors.
DIP benchmarking — 9fin announced the launch of its DIP financing database.
Women in liquidation — Female-owned businesses are more likely to be pushed to liquidate than male-owned businesses, new research shows — and the chance widens sharply when judges are slammed with high case loads.
Out-of-court
Crown Paper Group — A trial between Bank of America and Black Diamond could decide the future of how trade disputes over blacklisted firms are settled — and the future of DQ list enforcement, in a case that has captured the attention of the lender community (as well as their lawyers).
Mega Broadband/Sparklight (Cable One) — Sparklight’s coercive debt exchange for the term loan of its soon-to-be wholly-owned subsidiary Mega Broadband garnered just 33.4% of support by the initial deadline as lenders advised by Milbank and Lazard formed a co-op to block the transaction. Cable One — working with Centerview and JP Morgan — and the creditor group did not trade proposals, though there is visibly a bid-ask gap. Sparklight thereafter announced it is considering scrapping the Mega exchange and leaving the Mega debt as is without credit support from the Cable One business. According to 9fin sources, Sparklight will now focus on a deal to refinance its 2028 and 2029 maturities and raise the required cash to meet its looming buyout obligations for the rest of Mega. Lenders to Mega, though, could be faced with a bankruptcy when its debts come due in 2027.
Optimum — Preliminary results for the company’s controversial stock tender — launched as part of a larger exercise that helped insiders gain priority versus legacy creditors over its Optimum East business and Lightpath stake — indicated 90% participation. While the final result suggest slightly lower participation, the company accepted for purchase the full 120 million shares (or 42.5% of the share count as of June 30) for $300m. The company also raised an incremental $250m at unrestricted subsidiaries under its JP Morgan credit facility.
Getty Images — The company is working with Guggenheim and Simpson Thacher to help navigate the aftermath of an abandoned $3.7bn tie-up with Shutterstock, while some lenders banded together with Gibson Dunn.
Symplr Software — Junior creditors to Symplr have proposed a new-money financing that would also extend the company’s debt runway, according to sources.
Hughes Network — Certain creditors have organized with Jones Day ahead of a $1.5bn maturity in August.
CDK Global — The Brookfield-backed company and some of its creditors have yet to align in debt talks.
Brand Industrial — Certain crossholders are forming a co-op pact in light of the Brookfield and CD&R-backed scaffolding company’s recent performance and debt trading activity.
Concentrix — The company reported revenue and profit within prior guidance for Q2 26, but lowered its full-year growth outlook as clients accelerated offshoring and cut spending, adding pressure to its transition from a traditional call center outsourcer to an AI-enabled services provider.
Aspen Group — The healthcare conglomerate told lenders in June it has called off a planned sale of WellNow, its urgent care business, to focus on a refinancing. Aspen, the owner of one of the largest dental support organizations in the US Aspen Dental, is betting lenders will bite on a maturity extension.
Jefferies — Point Bonita, a Jefferies master fund, is the plaintiff in a lawsuit that alleges Western Alliance improperly froze $25m in funds in its name after taking losses on a receivables loan tied to First Brands.
Dye & Durham — The Canadian legal software company's debt dived amid governance turmoil and rating downgrades.
Cubic — Certain creditors to the Elliott Management and Veritas-backed company have gone restricted as the company attempts to deal with its ballooning debt pile.
JetBlue — Cheaper fuel could buy JetBlue time by slowing cash burn and improving the prospects for conventional secured financings over an aggressive LME.
Ethiopia — The country has reached an agreement in principle with an ad hoc committee representing about 45% of outstanding bondholders.
Fortress — The firm achieved full payment of a $187.3m judgment in a private credit enforcement action against Charles Cohen.
Selecta — Following 9fin’s report that the Netherlands Commercial Court of Appeal confirmed the Selecta minority creditors could advance their appeal, the court released its written judgment. The Court of Appeal has ruled “that the appellants qualify as 'interested parties' within the meaning of Article 282(1) DCCP” and that “the applicable prohibition against appeal is to be lifted.”
Baffinland — The iron ore miner entered into a settlement with its creditors to resolve a dispute over who should provide rescue financing.
Aston Martin — Bondholders in the UK luxury carmaker have entered into a cooperation agreement, amid the company’s liquidity strain and funding needs, according to 9fin sources. The group, led by investment firms Arini and Sculptor, hired Akin as legal advisor, following another quarter of losses, continued cash burn, and a deteriorating credit profile.
Ion Platform — The data and software provider delivered its strongest quarter in Q2 26 since the October 2025 refinancing, which brought the liabilities of Ion Markets, Ion Corporates, and Ion Analytics together under the Ion Platform umbrella. Topline growth improved and so did the reported EBITDA margin. Read our analysis here.
Hunkemoller — A district court judge in the Dutch clothing manufacturer’s LME litigation has given the company’s ad hoc group the green light to proceed with discovery, adopting a magistrate judge’s recommendation and over creditor-turned-owner Redwood’s objection. Judge Analisa Torres in the Southern District of New York adopted a series of recommendations issued by Judge Netburn back in October in a 30 June order regarding the discovery litigation.
Selecta — Following 9fin’s report that the Netherlands Commercial Court of Appeal confirmed the Selecta minority creditors could advance their appeal, the court released its written judgment. The Court of Appeal has ruled “that the appellants qualify as 'interested parties' within the meaning of Article 282(1) DCCP” and that “the applicable prohibition against appeal is to be lifted.”
Trans-Oil Group — The commodity trader’s bonds forged a remarkable recovery after the company’s management allayed fears that it may have breached international sanctions or that its owner could be subject to criminal prosecution by Ukraine. Investors were scouring the wreckage of its bond crash this week, as the company held calls to try to reassure that its situation is not as dire as some reports suggest. The Moldovan company has come under intense scrutiny after publication Ukrainska Pravda published an investigation that implicated owner Vazha Dzhashi in a scheme to supply grain to Iran and Shahed drones to Russia.
Fortna — The THL Partners-backed supply chain services provider is said to be in negotiations with creditors on an overhaul of its over $1.5bn in debt. Lenders are being represented by Gibson Dunn.
United PF — The American Securities-backed Planet Fitness gyms operator is reported to be in discussions with certain lenders on a debt-for-equity swap as it faces the maturity of a $525m term loan in December and a second lien loan next year. The company is represented by Evercore and Kirkland & Ellis, term lenders by Lazard and Gibson Dunn, and the second liens by Perella Weinberg and Paul Hastings.
GPS Hospitality — The Popeyes, Burger King and Pizza Hut franchisee is reported to have completed a debt-for-equity swap that hands its lenders control and the company access to new money.
Aventiv — Following the receipt of regulatory approvals, the prison phone company is reported to have finalized a deal to hand lenders around 97% of equity in the reorganized company and for creditors higher up in the cap stack to receive over $500m of takeback debt.
LIV Golf — The golf tour is reported to be seeking $250m-$350m in funding and laying off employees after Saudi Arabia’s Public Investment Fund would not provide it financial support after the 2026 season.
Brightline — Brightline has bought itself two more weeks by paying 1 July interest from reserves and extending payment on $985m of commuter bonds to 15 July, but restructuring talks remain unresolved with no agreed DIP financing or restructuring support agreement in place.
Hertz — The troubled car rental company completed an upsized debt offering by issuing $350m of 6.75% exchangeable senior first-lien secured PIK notes due 2030 (Notes) with an option to issue an additional $50m of Notes for a period of 13 days. The stock has tanked by more than 60% recently as short bets have reached record levels with 56% of the float being sold short.
Thames Water — a consortium of the troubled utility company’s creditors plotting a takeover bid have looked to sweeten their offer by possibly paying more on a “super fine” for underperformance over a turnaround period running from 2025 to 2030. The group is also having conversations with UK water regulator Ofwat about greater capex spend over the period to assuage fears that Thames Water will continue to underperform on certain key environmental and social obligations.
Bankruptcy
DISH DBS — The company filed prepack Chapter 11 cases to implement the noteholder RSA, which it says will reduce funded debt to approximately $5bn, centralize more than $6bn of disputed 5G-shutdown claims and pursue an insider-backed sale process for the remaining DISH Wireless assets. The filing triggered a bankruptcy credit event on CDS, adding to the questions already on the Americas Determinations Committee's plate. The court partially granted Crown Castle’s request to adjourn key first-day motions that were deferred at the first-day hearing to an 8 July hearing on those motions and Crown Castle’s adjournment request. At the 1 July first-day hearing, the court deferred key motions (disclosure/solicitation, bar date, bidding, rejection procedures) amid UST and multiple creditor objections — including from Crown Castle and American Tower — that the DISH cases are not a true “prepack” and require more due process and discovery than the DISH DBS cases. The company pushed back against Crown Castle, which filed an emergency motion — joined by multiple creditors — seeking an adjournment of the 8 July hearing on the motions. The company argued the motions are procedural and filed a motion for claims estimation for voting purposes, as creditors demanded discovery into an approximately $8.8bn intercompany claim and insider-sale dynamics.
Trinseo — The debtors pressed Judge Christopher Lopez to force CastleKnight to produce documents on its trading strategy, investment thesis and diligence around more than $300m of debt and equity purchases, while the CastleKnight-led excluded lender group sought derivative standing to prosecute estate claims against the supporting lender group. While parties resolved the discovery dispute at a conference before Judge Lopez, the standing motion was in response to the debtors’ motions to enforce the stay against the CastleKnight-led adversary proceeding and for judgment on the pleadings, both noticed for hearing on 22 July. The debtors then asked Judge Lopez to designate CastleKnight’s $262m plan rejection vote, alleging the minority lender acquired a blocking position and is pursuing LME litigation to extract “holdup value” rather than protect a legitimate creditor interest.
GoldenPeaks Poland — The renewable energy provider and TopCo equityholder Brookfield urged Judge Alfredo Perez to approve final DIP financing and bid procedures after a three-day evidentiary hearing, warning the debtors could face liquidation without access to the facility. The UCC and mezz lender, Berenberg, objected to the DIP, arguing the facility gave an insider lender excessive economics and control over a compressed sale process. Berenberg’s emergency motion to dismiss the cases was set aside for later. GoldenPeaks defended the Brookfield-backed bid, arguing that disputes over credit bidding, 363(m) good-faith findings and free-and-clear sale relief were premature. The debtors ultimately secured final approval of the DIP and fast-tracked sale process. Judge Perez found the debtors exercised appropriate business judgment, and approved the stalking horse framework and sale timeline finding nothing improper.
Linqto — White & Case sought emergency relief to enforce an attorney charging lien against Australia-based Sapien Group’s recoveries under Linqto’s confirmed Chapter 11 plan, asserting $577,669 in unpaid fees. Judge Perez approved the relief preserving White & Case’s asserted lien against any plan recoveries while reserving disputes over priority and setoff for another day. Because Sapien did not appear, the court required that the order maintain the status quo by including a mechanism for a further hearing if Sapien later retains counsel.
Robertshaw — A Texas district court affirmed Judge Christopher Lopez’s decision in the lender-on-lender litigation, preserving the central economic outcome of the company’s December 2023 LME while leaving Invesco with a breach of contract claim against the debtors’ estates.
Del Monte Foods — Judge Michael Kaplan denied the minority secured lender group’s request to certify a direct appeal of Del Monte’s confirmation order to the Third Circuit, with a written opinion to follow. The ruling left the group’s confirmation appeal to proceed through the district court after the confirmed plan went effective.
Lugano Diamonds & Jewelry — The debtors sued founder and former CEO Mordechai Ferder in Delaware bankruptcy court, seeking to disallow or subordinate his roughly $36m proof of claim and recover alleged transfers tied to an alleged diamond-financing fraud. The complaint targets Ferder, the Haim Family Trust and alleged insider transfers while framing claim disallowance as a key lever for unsecured creditor recoveries. The US Trustee and Ferder objected to the debtors’ proposed disclosure statement and liquidating plan ahead of a 14 July hearing, with the UST targeting opt-out third-party releases and Ferder challenging disclosure around the CODI settlement, releases, voting mechanics and feasibility.
U.S. TelePacific — The IT services provider filed a Chapter 11 case with a pre-arranged toggle plan with consenting lenders that will allow the company to pursue a sale or a standalone restructuring.
West Marine — The boating supplies retailer cancelled its 29 June auction after receiving no qualified bids and will instead pursue a recapitalization.
ModivCare — The reorganized debtors (ModivCare TopCo) urged the court to reject contempt efforts over the professional fee “escrow,” arguing the plan required only a segregated debtor account, not a “true” escrow. In response, White & Case disagreed and accused TopCo of acting in bad faith in its movement of funds out of the professional fee account and its delay in depositing funds with the court as required by the court’s escrow order. Following a hearing, Judge Perez took the issue under advisement.
First Brands — The court cleared the sale of the Jasper Rubber business to a Press-Seal affiliate after the company resolved MAPLAN’s objection. The company, its DIP lenders and Bank of America opposed Evolution’s bid for immediate appellate review of the ruling finding it failed to perfect a security interest tied to its receivables financing arrangement with the company, arguing the order is interlocutory. The court granted Evolution’s request to stay proceedings on the company’s motion seeking to release the approximately $25.7m segregated factoring pending Evolution’s appeal. The court’s order suspends proceedings on the release motion — including the objection deadline — “to a date to be determined by [the court].” Separately, Evolution filed an emergency motion seeking turnover/segregation of at least $21.5m in post-petition A/R it claims is its cash collateral. Bank of America, as ABL agent, filed an emergency motion to compel Aequum to deposit disputed inventory-sale proceeds into the court registry, alleging Aequum is violating the preliminary injunction. The company is seeking turnover of approximately $3.8m approximately $3.8m held in a nonqualified deferred compensation rabbi trust.
DAMIS Holdings — DAMIS sought and received “first day” relief nearly a month into the case as the SIMAD sister-company uses Chapter 11 to stabilize its business and investigate pre-petition transactions.
Simad Holdings — Simad received approval for additional DIP funding from certain of its prepetition lenders for camps not receiving proceeds of the company’s $180m bondholder-provided DIP facility, including a $30m DIP from Bank of New Hampshire and funding for Pine Forest Camp provided by Wayne Bank. The debtors adjourned their second day hearing for three days to 16 July in order to have more time to resolve objections, including Metropolitan Partners’ objection to the roll-up and fees under the bondholder DIP facility, among other issues.
TPI Composites — The court confirmed the liquidating plan for the remaining TPI debtors, which, following the close of the debtors’ Vestas and ECP sale transactions, cleared the way for the debtors to emerge from bankruptcy on 6 July.
Genesis Healthcare — The company and the UCC filed a second adversary complaint alleging Joel Landau; is friend and business partner David Gefner; former CFO Jonathan Kirschner; Landau- and Gefner-owned Integra Healthcare; third party Altira Health; and others orchestrated insider transactions stripping more than $50m of value (including lease/operations changes and an $11.85m leasing deposit allegedly withheld), naming Landau individually this time.
Pacifica of the Valley — Debtor filed Chapter 22 to keep its safety-net hospital operating while stabilizing liquidity and litigating a dispute with Axios Capital Solutions over a $35m Main Street Loan. Rather than seek DIP financing, the debtor wants to use cash collateral under CRO oversight to fund payroll, patient care, supplies and administrative expenses, warning that loss of access would force an immediate shutdown. At the first day hearing, debtor secured limited first-day relief, but cash collateral use was approved only for two weeks after Axios objected. Axios argued the bankruptcy filing was improperly authorized and plans to seek dismissal, though it consented to limited cash use to keep the hospital operating to preserve patient care. A continued cash collateral hearing is set for 23 July.
Omnicare — The company is seeking approval of two interrelated 9019 settlements with DOJ and CVS and with CVS and the UCC that it says will “comprehensively resolve all claims” stemming from the approximately $953m False Claims Act judgment entered against it and CVS in April 2025, and additionally will establish a framework for the company’s post-GenieRx-sale Chapter 11 exit.
Nicklaus Companies — Nicklaus Companies filed a combined disclosure statement and liquidating plan, seeking approval of a 17 August voting deadline and a 27 August confirmation hearing. General unsecured claim holders (~$296m, majority being PMP Nick's $250m settled claim) are estimated to recover 1.5%, while convenience class holders ($600,000 of allowed non-priority unsecured claims) are set to recover 5% pro rata from a $75,000 pool.
Serta Simmons — The much awaited LME decision ruled in favor of the excluded lenders (ruling turns on the definition of "Payment"); a number of participating lenders settled this uptier litigation just under the buzzer.
Sleep Number — Debtors netted expedited sale process, anchored by a $415m stalking horse bid from a Sleep Country Canada affiliate. The companies asked the bankruptcy court to let them recover ~$17.56m from an executive deferred compensation “rabbi trust” for the benefit of the Chapter 11 estates for operations and administrative expenses. The motion will be heard 15 July. At the 9 July second day hearing, Former Sleep Number CEO Shelly Ibach won a narrow chance for her unnamed investor group to submit a late qualified bid by 12 July, without disrupting the existing 13 July auction and 15 July sale hearing timeline. Separately, the final DIP hearing was adjourned to 15 July while the debtors, DIP lenders and UCC continue negotiating, and the court granted entry of final orders approving the debtors' principal first day motions.
Harvest Sherwood — The debtors are seeking approval of a $60m settlement of its breach of contract dispute with Sprouts.
Spirit Airlines — The defunct budget airline filed a motion seeking approval of bidding procedures for the sale of 27 Airbus aircraft valued at $630m value with a stalking-horse bid (cash + credit bid) and a motion requesting authority to sell approximately $11.5m of ground support equipment. Both motions will be heard on 22 July. Spirit also gained court approval for the $12m sale of certain now-vacant gates at Atlanta’s Hartsfield-Jackson to Delta Airlines.
Five Star Development — The debtors will seek approval of bid procedures for the sale of its El Paso real property at a hearing before Judge Perez in the Southern District of Texas bankruptcy court on 14 July at 1.00pm CT. The motion was filed consistent with the debtors’ term sheet with prepetition lender Madison Realty Capital, which requires that the debtors close a sale by 31 August.
New Fortress Energy — Judge Martin Glenn of the US Bankruptcy Court for the Southern District of New York approved the energy company’s request to recognize its UK-sanctioned restructuring plan for NFE Global Holdings and NFE Brazil under Chapter 15. Creditors showed overwhelming support for the UK restructuring plan at meetings convened on 15 June, with 99% voting in favor and unanimous consent in nearly all classes, as reported by 9fin and reflected in the debtors’ demonstrative exhibit.
SynergenX — The debtors operate a hormone health and weight management platform and entered Chapter 11 on 2 July.
Rosland Capital — The gold, silver and other precious metal retailer filed for Chapter 11 on 2 July.
Chasseur Realty Investors — The owner and operator of Fondren Hill Apartments located in Jackson, MS filed for Chapter 11 on 2 July.
Oha Papi — The “buy here pay here” used car dealer filed for Chapter 11 on 6 July.
Stryker Dealership Group — The utility and cargo trailer merchant wholesaler filed for Chapter 11 on 6 July.
Thornco Hospitality — The owner and operator of a Homewood Suites by Hilton filed for Chapter 11 on 7 July.
50 Sussex Redevelopment Urban Renewal — The developers of a 15-story, 203-unit luxury residential building located in Newark, NJ filed for Chapter 11 protection.
STG Logistics — The company completed its financial restructuring, and announced that it had emerged from Chapter 11 on 9 July.
For our full active coverage list, log in to 9fin’s restructuring database here.
Headlines:
10-Jul District court affirms Judge Lopez’s Robertshaw LME ruling, rejecting Invesco appeal (9fin)
10-Jul Female-owned businesses less likely to emerge from bankruptcy, study finds (9fin)
10-Jul Sleep Number CEO secures path to submit late bid while final DIP hearing pushed to 15 July (9fin)
10-Jul DAMIS Holdings granted further interim relief on cash collateral, critical vendors (9fin)
10-Jul Symplr Software pits Ares and junior lenders against 1L ad hoc group (9fin)
09-Jul Lugano DS draws UST, founder objections over opt-out and CODI settlement (9fin)
09-Jul Ion records good momentum — Q2 26 earnings review (9fin)
09-Jul JetBlue — Cheaper fuel slows LME clock (9fin)
09-Jul Sparklight considers scrapping exchange offer to Mega lenders with 2027 maturities looming (9fin)
09-Jul Aston Martin bondholders form co-op led by Arini and Sculptor (9fin)
09-Jul Judge Perez takes issue of ModivCare TopCo's alleged contempt under advisement (9fin)
09-Jul First Brands seeks turnover of $3.8m rabbi trust assets (9fin)
09-Jul Court partially grants Crown Castle adjournment request in DISH (9fin)
09-Jul Benchmark DIP terms in seconds, not hours (9fin)
09-Jul BofA, Evolution seek emergency relief over First Brands collateral (9fin)
08-Jul Sparklight in talks with Mega lenders after tepid reception for proposed exchange offer (9fin)
08-Jul Pulp and paper in investor focus amidst a transition to recycled packaging — Analysis (9fin)
08-Jul Pacifica secures limited first day relief as lender challenges chapter 11 authority (9fin)
08-Jul Mid-Market Bankruptcy Alert — Thornco Hospitality files for Chapter 11 (9fin)
08-Jul Mid-Market Bankruptcy Alert — Stryker Dealership Group files for Chapter 11 (9fin)
08-Jul Mid-Market Bankruptcy Alert — Oha Papi files for Chapter 11 (9fin)
08-Jul Cubic lenders go restricted as company works through mounting interest burden (9fin)
08-Jul Getty Images and lenders tap advisors amid cash squeeze (9fin)
08-Jul Escape from LA — Entertainment industry reels amid Hollywood production decline (9fin)
08-Jul Spirit's ATL gate sale approved, other asset sales move forward (9fin)
08-Jul Court preserves White & Case lien rights against Sapien recoveries under Linqto plan (9fin)
08-Jul Short sellers swarm BDCs as earnings season approaches (9fin)
08-Jul White & Case files fiery response ahead of hearing in ModivCare contempt dispute (9fin)
08-Jul Spirit seeks bids for $630m aircraft sale, approval for $11.5m GSE sale (9fin)
08-Jul Sleep Number moves to recover $17.56m from 'rabbi trust' (9fin)
08-Jul DISH pushes back against Crown Castle-led bid to slow Chapter 11 (9fin)
08-Jul Dutch court releases Selecta judgment — Minority creditors given green light to appeal (9fin)
07-Jul Serta Simmons LME decision rules in favor of the excluded lenders (9fin)
07-Jul Hughes Network creditors tap Jones Day ahead of $1.5bn maturity (9fin)
07-Jul CORRECTION — Serta uptier litigation comes to quiet close for some lenders (9fin)
07-Jul SIMAD Holdings adjourns second day hearing amid objections to DIP (9fin)
07-Jul Aston Martin bondholders hire Akin amid financial pressures (9fin)
07-Jul Nicklaus Companies file liquidating plan, target 27 August confirmation (9fin)
07-Jul White & Case seeks to enforce lien on client's Linqto Chapter 11 recoveries (9fin)
07-Jul Unsealed Prax docs outline £334m in missing invoices in securitisation facility (9fin)
06-Jul Omnicare seeks approval of DOJ, CVS deals resolving $953m FCA claim (9fin)
06-Jul SIMAD Holdings secures additional DIP funding for Pine Forest Camp (9fin)
06-Jul GoldenPeaks Poland beats lender objections to Brookfield-led sale path (9fin)
06-Jul Prax retail sites sold to former Asda owner, ahead of 2027 loan dues (9fin)
06-Jul Bankruptcy Filing Alert — Pacifica of the Valley Corporation files for Chapter 11 (9fin)
06-Jul Mid-Market Bankruptcy Alert — Chasseur Realty Investors files for Chapter 11 (9fin)
06-Jul Mid-Market Bankruptcy Alert — Rosland Capital files for Chapter 11 (9fin)
06-Jul Mid-Market Bankruptcy Alert — SynergenX files for Chapter 11 (9fin)
06-Jul Cat's Corner — Bankruptcy court preview for week of 6 July (9fin)
06-Jul Genesis Healthcare, UCC accuse Landau of self-dealing in second lawsuit (9fin)
03-Jul CEEMEA wrap — Independence Day fishing (9fin)
03-Jul GoldenPeaks court to rule on alleged insider DIP and bid procedures after holiday weekend (9fin)
02-Jul Harvest Sherwood and Sprouts settle $60m breach of contract dispute (9fin)
02-Jul Sleep Number nets expedited sale process approval built around $415m stalking horse deal (9fin)
02-Jul Court clears First Brands Jasper Rubber sale to Press-Seal affiliate (9fin)
02-Jul Braskem CDS holders left hanging after DC denies another Brazilian trigger request (9fin)
02-Jul DISH DBS triggers bankruptcy credit event on CDS (9fin)
02-Jul Jefferies claps back at Western Alliance, as First Brands fallout rages on (9fin)
02-Jul Cloud 9fin — Claude Code shook credit. What breaks next? (9fin)
02-Jul Carvana, PetSmart, and Lumen — Commonalities in successful LME turnarounds (9fin)
02-Jul Dye & Durham debt dives amid governance turmoil, rating downgrades (9fin)
02-Jul Trans-oil bond rout puts buysiders on watch for upside as call looms (9fin)
02-Jul Court defers key DISH DBS first day motions after 'prepack' challenge (9fin)
01-Jul Court clears Genesis sale — Madison Manor's ROFR can't block Larkin Chase sale (9fin)
01-Jul 9fin Chapter 11 pulse — 1H 26 (9fin)
01-Jul TPI RemainCo liquidating plan confirmed (9fin)
01-Jul SIMAD receives approval for $30m DIP from Bank of New Hampshire (9fin)
01-Jul Mid-Market Bankruptcy Alert — 50 Sussex Redevelopment Urban Renewal files for Chapter 11 (9fin)
01-Jul GoldenPeaks defends Brookfield bid procedures as DIP fight continues (9fin)
01-Jul Optimum preliminary stock tender results indicate 90% participation (9fin)
01-Jul DISH adds to CDS credit event questions on Americas DC's plate (9fin)
30-Jun Getty terminates Shutterstock merger to pursue 'strategic financing alternatives' (9fin)
30-Jun DAMIS Holdings — Bankruptcy QuickTake — SIMAD sister cases seek stability in Chapter 11 (9fin)
30-Jun Court stays First Brands bid to release $25.7m pending Evolution appeal (9fin)
30-Jun CDK Global and creditors yet to align in debt talks (9fin)
30-Jun Bankruptcy Filing Alert — DISH DBS files for Chapter 11 (9fin)
30-Jun Selecta minority creditors allowed to pursue Dutch appeal (9fin)
30-Jun Brand Industrial crossholders draw up co-op pact amid weak earnings (9fin)
30-Jun Debtors, DIP lenders, BofA oppose Evolution appeal in First Brands (9fin)
30-Jun Baffinland settles DIP dispute (9fin)
30-Jun Braskem posed as bankruptcy CDS question on mediation process (9fin)
30-Jun Lugano sues former CEO to disallow $36m insider claim over alleged diamond fraud (9fin)
29-Jun Concentrix cuts guidance, prioritizes deleveraging — Q2 26 earnings review (9fin)
29-Jun U.S. TelePacific first day relief approved at uncontested hearing (9fin)
29-Jun West Marine abandons sale process after no bids, UCC seeks discovery (9fin)
29-Jun Restructuring veteran Charles Noel-Johnson dies at 50 (9fin)
29-Jun Aspen Group shelves sale to focus on refi (9fin)
29-Jun ModivCare TopCo says no 'true' escrow required, decries fee challenge delay (9fin)
29-Jun Escaped kids, hidden abuse — What happens when private equity enrolls in daycare? (9fin)
29-Jun Cat's Corner — Bankruptcy court preview for week of 28 June (9fin)
29-Jun Bankruptcy Filing Alert — U.S. TelePacific files for Chapter 11 (9fin)
29-Jun GoldenPeaks faces DIP fight with Berenberg and UCC with dismissal set aside for later date (9fin)
29-Jun 'Operation Royal Crown' — How a DQ list left Bank of America holding an unsettled trade (9fin)
29-Jun Ethiopia nears restructuring breakthrough as creditor group agrees exchange (9fin)
28-Jun Road King secures over 50% creditor support for offshore restructuring (9fin)
26-Jun Sprayregen on his 'evolutionary' move back into law (9fin)
