/raid1/www/Hosts/bankrupt/TCR_Public/220810.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Wednesday, August 10, 2022, Vol. 26, No. 221
Headlines
37 WOLCOTT: Taps Rosenberg Musso & Weiner as Legal Counsel
942 PENN RR: Property Sale Proceeds to Fund Plan Payments
A+ REMODELING: Unsecureds Will Get 5% of Claims in 60 Months
ASSUNCAO BROS.: In Chapter 11 to Pursue Orderly Liquidation
ASSUNCAO BROS: Court OKs Cash Collateral Access, $200,000 DIP Loan
AZZ INC: S&P Alters Outlook to Positive, Affirms 'B' ICR
B&G PROPERTY: Seeks to Hire Vanden Bos & Chapman as Legal Counsel
BENNING MCLEAN: Taps Brown Rudnick, Sandground as Special Counsels
BIOSTAGE INC: Incurs $1.35 Million Net Loss in Second Quarter
BMW NATIONWIDE: Court OKs Deal on Cash Collateral Access
BROADRIDGE LA: Voluntary Chapter 11 Case Summary
BROOKS BROTHERS: Ex-Owners Can't Duck Suit Over Chapter 11 Sale
CARVANA CO: Incurs $439 Million Net Loss in Second Quarter
CHOOM HOLDINGS: High Tide Purchases 8 Cannabis Stores
CORNELL WEST 34: 15% Owner of Building Files for Chapter 11
CREDITO REAL: Akin Gump, Potter Anderson Represent Noteholder Group
CRYSTAL SPOON: Taps Armaan Shaviri & Company as Accountant
DENTAL LAND: Gets Interim Cash Collateral Access
DIOCESE OF ROCKVILLE: New Adult Abuse Claims Allowed in Chapter 11
DLVAM1302: Wins Interim Cash Collateral Access Thru Oct 13
DR. R'KIONE BRITTON: Wins Cash Collateral Access Thru Aug 30
ENVIA HOLDINGS: Gets OK to Hire PHP Group as Broker
ESSA PHARMA: Incurs $8.8 Million Net Loss in Third Quarter
FALLSWAY CONSTRUCTION: Case Summary & 20 Top Unsecured Creditors
FREE SPEECH: Sandy Hook Parents Oppose Bankruptcy Payments to Jones
GWG HOLDINGS: Vernon Files Arbitration for of Emerson Investors
HIE HOLDINGS: In Chapter 11 With Water and Coffee Units
INSULATION COATINGS: Case Summary & 20 Top Unsecured Creditors
INSYS THERAPEUTICS: Prosecutors Balk at Exec.'s Early Release
INTERIOR COMMERCIAL: Returns to Chapter 11 Bankruptcy
JUST ENERGY: Enters Into $185M Stalking Horse Deal With Lenders
JUST ENERGY: Intends to File Annual Filings on August 12
KINTARA THERAPEUTICS: Inks $20M Equity Purchase Deal With Lincoln
LAPEER AVIATION: LAI Creditors to Get Paid from Future Income
LAW OFFICES OF BRIAN WITZER: Trustee Taps Levene as Legal Counsel
LECLAIRRYAN PLLC: Trustee Wants More Attorneys for $21M Deal Fight
LOGOS INC: Asset Sale Proceeds to Fund Plan Payments
M6 ETX: S&P Assigns 'B+' Issuer Credit Rating, Outlook Stable
MICROSTRATEGY INC: Incurs $1.1 Billion Net Loss in Second Quarter
MYOMO INC: Incurs $2.9 Million Net Loss in Second Quarter
NEUMEDICINES INC: Taps Sheppard Mullin Richter as Special Counsel
NFP CORP: S&P Rates New $300MM Senior Secured Notes 'B'
OAXACA AMSTERDAM: Mexican Restaurant Files Subchapter V Case
OSG GROUP: Paul Hastings, CS Represent First Lien Group
OSG GROUP: Unsecured Creditors be Paid in Full or be Reinstated
PETROTEQ ENERGY: Incurs US$9.1 Million Net Loss in Third Quarter
PIKE CORP: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable
QUALITAT DRYWALL: Gets OK to Hire Adolfo Yee as Accountant
REVLON INC: CFO Dolan Retires, A&M's Kvarda Named Interim CFO
REZDORA USA: Taps Law Offices of Gabriel Del Virginia as Counsel
SEADRILL LTD: Board Approves New Management Incentive Plan
SHO-ME NUTRICEUTICALS: Case Summary & One Unsecured Creditor
SKILLZ INC: Gaffney Quits as Director, Hoffman Named as Replacement
SUNGARD AS: Expects to Close 365 Asset Acquisition by Fall
TARINA TARANTINO: Gets OK to Hire Hilco as Real Estate Broker
THORCO INC: Seeks to Hire Shimanek Law as Bankruptcy Counsel
TICONDEROGA FARMS: Seeks to Hire Gilbert LLP as Bankruptcy Counsel
TRANSOCEAN LTD: Secures $321-Mil. Contract for Deepwater Conqueror
TRANSOCEAN LTD: Secures $915-Mil. Contract for Petrobras 10000
TREETOP DEVELOPMENT: Hadid's $250M Mansion Moves Into Bankruptcy
TRUSENTIAL LLC: Healthcare Staffing Agency Applies for Chapter 11
VIVOS REAL ESTATE: SARE Files Bare-Bones Chapter 11 Petition
VOYAGER DIGITAL: Gets Court OK to Let Customers Withdraw Cash
WEYERBACHER BREWING: Gets OK to Hire Daniel Lee as Accountant
WOUAFF WOUAFF: Wins Interim Cash Collateral Access
YELLOW CORP: Posts $60 Million Net Income in Second Quarter
[*] Carl Marks Advisors Announces Four New Hires, Promotion
[*] July 2022 Commercial Chapter 11 Filings Dipped 13%
[*] Justin Hoffman Joins Winston & Strawn as Partner
[*] Lobel Gets Orange County Business Journal Award Nomination
[*] Matthew Biben Joins King & Spalding's NY Office as Partner
[*] Nathan Eisler Joins Greenberg Traurig's Finance Practice
[*] Teri Stratton Joins Hilco's Restructuring Practice
[*] Top-Tier Restructuring Team Joins Dechert LLP
[*] With Diocese Bankruptcies, Insurers Fight Rising Abuse Claims
*********
37 WOLCOTT: Taps Rosenberg Musso & Weiner as Legal Counsel
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37 Wolcott, LLC seeks approval from the U.S. Bankruptcy Court for
the Eastern District of New York to employ Rosenberg Musso & Weiner
to serve as legal counsel in its Chapter 11 case.
The firm's services include:
a. advising the Debtor regarding its powers and duties in the
continued operation of its business and management of its
property;
b. preparing legal papers; and
c. performing all other legal services for the Debtor, which may
be necessary and appropriate in the conduct of the case.
The firm will be paid based upon its normal and usual hourly
billing rates and will be reimbursed for its out-of-pocket
expenses.
The retainer fee is $15,000.
Robert Musso, Esq., a partner at Rosenberg, disclosed in a court
filing that his firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Robert J. Musso, Esq.
Rosenberg Musso & Weiner
26 Court Street, Suite 2211
Brooklyn, NY 11242
Tel: (718) 855-6840
Fax: (718) 625-1966
About 37 Wolcott
37 Wolcott, LLC sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. E.D.N.Y. Case No. 22-41384) on June 16,
2022, disclosing as much as $1 million in both assets and
liabilities. Judge Jil Mazer-Marino oversees the case.
Robert J. Musso, Esq., at Rosenberg Musso & Weiner is the Debtor's
legal counsel.
942 PENN RR: Property Sale Proceeds to Fund Plan Payments
---------------------------------------------------------
942 Penn RR, LLC (the "Debtor") and Creative Directions, Inc.
("CDI") filed with the U.S. Bankruptcy Court for the Southern
District of Florida a Disclosure Statement for Joint Plan of
Reorganization dated August 7, 2022.
The Debtor is a Florida limited liability company formed on
September 22, 2017 and with its principal address of 942
Pennsylvania Ave., Miami Beach, FL 33139. Raziel Ofer and Robert
Mendez each hold 50% of the Debtor's membership interests and are
co-managers of the Debtor.
Debtor is the fee simple owner of the real property located at 942
Pennsylvania Ave., Miami Beach, FL 33139 (the "Property"). The
Property is a 30-unit building operated as a legal short-term
vacation rental constructed in 1936 and recently gut renovated. The
Property has recently been valued between $11,400,000.00 to
$11,800,000.00 as set forth in the June 17, 2022 Broker's Price
Opinion.
On July 21, 2022, CDI initiated Adversary No. 22-01214-LMI by
filing a complaint to determine the validity, priority and extent
of liens in the Property against Immokalee, Ontario, Proulx and
Marjam and for equitable subordination against Immokalee and
Ontario (the "CDI Complaint"). Answers to the CDI Complaint are due
on August 22, 2022.
Class 1, the Unsecured Priority Claim of the Internal Revenue
Service, in the amount of $11,700.00 shall be paid in full on the
Effective Date, is unimpaired by this Plan. Future federal income
taxes will be paid in the ordinary course.
Class 7, the unsecured creditors, including holders of any
deficiency claims as determined by the Court after the resolution
of the claims objection process shall be paid on a pari passu basis
from any remaining cash on hand in the Chapter 11 Trustee's bank
account as of the Effective Date and from any remaining net sales
proceeds from the sale of the Property. Class 7 claimants are
impaired and entitled to vote on the Plan.
Class 9 consists of the Debtor's interest in property of the
estate, which is retained under this Plan. Upon payment to all
creditors any remaining property of the estate shall be deemed to
vest in the Debtor. Class 9 is presumed to accept the Plan and not
entitled to vote.
The primary method for implementation of the Plan is sale of the
Property to either a third party or to CDI, who will be allowed to
credit bid its undisputed secured claim in the amount
$11,205,000.00.
The Effective Date shall be 15 days after the entry of final non
appealable order by the Court approving the sale of the Property
(the "Final Sale Order").
Mukamal shall remain in possession of the Property until the entry
of the Final Sale Order and shall be responsible for facilitation
the sale of the Property. Mukamal and his court-approved
professionals shall be entitled to seek compensation and
reimbursement of costs through the date upon which the Final Sale
Order.
In the event the Plan Trustee is able to procure an acceptable
buyer for the Property who signs a contract for the purchase of the
Property and provides a deposit in an amount deemed reasonable by
the Plan Trustee, CDI shall have the first right of refusal to
acquire the Property at the price contained in the third party
contract and may credit up to $11,205,000.00, plus any amounts
allowed by the Court pursuant to Code Section 506(b).
In the event the Plan Trustee does not procure a buyer for the
Property within 30 days after the Effective Date, the Property
shall be auctioned by the Plan Trustee with such auction taking
place no later than 60 days after Effective Date. At such auction,
CDI shall automatically be deemed to be a Qualified Bidder and have
the right to, at its sole discretion, credit bid for the Property
in the amount of up to $11,205,000.00, plus any amounts allowed by
the Court pursuant to Code Section 506(b).
In the event that CDI acquires the Property by way of credit bid,
it agrees to waive its right to assert any deficiency claim.
The sources of the funding for the payment of all allowed claims
(except any unsecured deficiency claim by CDI in the event CDI
acquires the Property by way of credit bid) shall be from the net
sales proceeds from the Sale of the Property, Debtor's accumulated
cash from operations and that in the event there is any shortfall,
Raziel Ofer, the Debtor's co-Manager and 50% membership interest
holder, has agreed to personally guarantee the payment of any such
shortfall and contribute any and all necessary funds to allow
payment of all allowed claims (except any unsecured deficiency
claim by CDI in the event CDI acquires the Property by way of
credit bid) in full within one year of the Effective Date.
A full-text copy of the Disclosure Statement dated August 7, 2022,
is available at https://bit.ly/3p2tj73 from PacerMonitor.com at no
charge.
Counsel for Debtor:
Mark S. Roher, Esq.
Law Office of Mark S. Roher, PA
1806 N. Flamingo Road, Suite 300
Pembroke Pines, FL 33028
Telephone: (954) 353-2200
Email: mroher@markroherlaw.com
Counsel for Creative Directions, Inc.:
DAVID J. WINKER, P.A.
David J. Winker, Esq., B.C.S.
Florida Bar No. 73148
4720 S. Le Jeune Rd.
Coral Gables, Florida 33146
Telephone: (305) 801-8700
Email: dwinker@dwrlc.com
About 942 Penn RR
942 Penn RR, LLC is the fee simple owner of a real property also
known as 942 Pennsylvania, Avenue, Miami Beach, Fla., valued at
$1.62 million.
942 Penn RR filed its voluntary petition for relief under Chapter
11 of the Bankruptcy Code (Bankr. S.D. Fla. Case No. 22-14038) on
May 23, 2022. In the petition filed by Raziel Ofer, manager, the
Debtor disclosed $1,617,630 in total assets and $27,179,541 in
total liabilities.
Judge Robert A. Mark oversees the case.
The Law Office of Mark S. Roher, PA serves as the Debtor's counsel.
A+ REMODELING: Unsecureds Will Get 5% of Claims in 60 Months
------------------------------------------------------------
A+ Remodeling & Construction Inc. filed with the U.S. Bankruptcy
Court for the Northern District of Texas a Small Business Chapter
11 Plan of Reorganization dated August 8, 2022.
The Debtor is a Texas corporation which owns and operates a
construction business in and around Lubbock, Texas. The company's
sole shareholder is Jerry Bumpas.
The Debtor fell behind on the payment of its employment and income
taxes for several years pre-petition to the IRS. The IRS's claim
arises from the non-payment of taxes, the accrual of interest, and
the imposition of penalties. On June 2, 2022, the IRS filed in the
claims register Proof of Claim No. 2 (the "IRS Claim"), asserting a
total claim in the amount of $191,371.93. The IRS Claim consists of
three components: a secured claim of $98,046.97, an unsecured
priority claim of $49,621.49, and a general unsecured claim of
$43,703.47.
Based on the continued collection efforts of the IRS and the need
to resolve its tax liability to the IRS, the Debtor elected to file
bankruptcy to continue to operate while at the same time proposing
a feasible repayment plan to the IRS.
The Debtor intends to fund the Plan through continued operations of
the Debtor's business. Debtor seeks to restructure its debts with
the IRS, American Momentum Bank, and other creditors to improve its
cash flow and ease its ability to make payments under this Plan.
The Plan also provides for the Debtor to continue to pursue a
lawsuit it has filed against its insurance broker, Daniel Enabnit,
and the insurance company, Mid-Century Insurance Company. This
lawsuit stems out of the failure by the insurance broker to bind
insurance coverage for the Debtor that would have covered the
litigation between the Debtor and the Rutledges. The Debtor
believes it has a strong case against the broker and the insurance
company. Any recovery from the Debtor's causes of action against
the broker and insurance company will be used to help fund the
Plan.
Non-priority unsecured creditors holding allowed claims will
receive distributions, which the proponent of this Plan has valued
at approximately 5 cents on the dollar. This Plan also provides for
the payment of administrative and priority claims in full.
Class 4 consists of the holders of unsecured claims of $5,000.00 or
less. The Debtor estimates that the total amount of Unsecured
Claims in this class total less than $15,000.00. The Plan provides
for the Unsecured Creditors which have Allowed Claims in this class
to be paid 5% of the value of their claim in cash on the Effective
Date of the Plan.
Class 5 consists of General Unsecured Creditors. The Plan provides
for the Debtor to make monthly payments over the next 60 months to
Allowed General Unsecured Creditors such that Allowed General
Unsecured Creditors will receive 5% of the amount of their Allowed
Claim. Payments shall be distributed by the Debtor directly to the
Allowed General Unsecured Creditors.
The estimated general unsecured claims total $283,868.33.
Class 6 consists of Equity Interest Holders. Jerry Bumpas shall
remain the 100% owner of the Debtor. Jerry Bumpas will continue to
serve as the president of the Debtor and be entitled to
compensation for his role as president of the Debtor.
The Debtor will continue to operate its residential and commercial
construction business. Through the Debtor's continued operations,
the Debtor will make the Plan payments called for herein to its
creditors.
Additionally, the Debtor will explore any opportunities it may have
to sell off assets and streamline its operations. After
confirmation of the Plan, the Debtor is authorized to sell any of
its assets according to its business judgment without further
motion and order of the Court. The sale of its assets and payment
of any liens against the assets sold will be treated in accordance
with this Plan, state law, or mutual agreement between the Debtor
and lien holder.
A full-text copy of the Plan of Reorganization dated August 8,
2022, is available at https://bit.ly/3BSEPte from PacerMonitor.com
at no charge.
Attorneys for Debtor:
Brad W. Odell, Esq.
Mullin Hoard & Brown, LLP
P.O. Box 2585
Lubbock, TX 79408-2585
Telephone: (806) 765-7491
Facsimile: (806) 765-0553
Email: bodell@mhba.com
About A+ Remodeling and Construction, Inc.
A+ Remodeling and Construction, Inc. is a Texas corporation company
which owns and operates a construction business in and around
Lubbock, Texas. The company's sole shareholder is Jerry Bumpas. A+
Remodeling provides construction and remodeling services to
residential and commercial properties. A+ Remodeling uses
subcontractors and other contract labor to perform construction
jobs for its customers.
A+ Remodeling sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. N.D. Tex. Case No. 22-50066) on May 9,
2022. In the petition signed by Jerry Bumpas, president, the Debtor
disclosed up to $500,000 in assets and up to $1 million in
liabilities.
Brad W. Odell, Esq., at Mullin Hoard and Brown, LLP is the Debtor's
counsel.
ASSUNCAO BROS.: In Chapter 11 to Pursue Orderly Liquidation
-----------------------------------------------------------
Assuncao Bros. Inc. filed for chapter 11 protection in the District
of New Jersey. The Debtor filed as a small business debtor seeking
relief under Subchapter V of Chapter 11 of the Bankruptcy Code.
The Debtor is a multi-generational family-run business that was
founded in 1958 by Diamantino Assuncao and my uncle, Manuel
Assuncao, that began by installing foundations for homes and all
facets of masonry work.
Diamantino's son, Martin Assuncao, is presently president and 100%
owner of the Debtor.
The Debtor specializes in concrete work, including, but not limited
to
curb, sidewalk, bridge, barriers, and slabs. The Debtor's
principal place of business is located at a leased property at 29
Wood Avenue, Edison, New Jersey 08820, which consists of office,
warehouse space, and equipment yard.
As of the Petition Date, the Debtor employed 23 employees.
As of the Petition Date, and based in part on the Debtor's most
recent unaudited balance sheet through July 31, 2022, the Debtor
has total assets worth approximately $4.3 million inclusive of
accounts receivable on numerous executory construction contracts,
and total liabilities
of approximately $7.6 million, inclusive of disputed, unliquidated,
and contingent claims.
Martin Assuncao notes that the Debtor is a family-run business that
has operated for approximately 64 years. Unfortunately, the
Debtor, like so many other businesses, experienced extraordinary
challenges and setbacks over the last 24 months due to the COVID-19
pandemic which resulted in delays starting projects and disruption
in management of projects by having to replace managers and workers
that were unfamiliar with the projects.
In addition, the Debtor initiated aggressive bidding to win
projects and was subject to losses, miscalculations, and
unprofitable jobs. The Debtor also hired new financial management
which led to significant errors in reporting and mis-projecting
profit and losses on jobs.
Additionally, several creditors have initiated litigation against
the Debtor and/or alleged guarantors, including NGM, American
Express, a vendor/supplier, and others.
While it has potential for a bright future, the Debtor believes an
orderly liquidation through bankruptcy is necessary at this time to
enable the Debtor to shed its burdens and effectuate an orderly
transition to a new owner that will help it realize its full
potential.
According to court filings, Assuncao Brs. estimates between 200 and
999 creditors. The petition states that funds will be available to
unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Sept. 1, 2022, 12:00 PM at Telephonic. Proofs of claim are due by
Oct. 12, 2022.
About Assuncao Bros. Inc.
Assuncao Bros. Inc. is a concrete contractor based in Edison, New
Jersey.
Assuncao Bros. Inc. filed a voluntary petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. D.N.J.
Case No. 22-16159) on August 4, 2022. In the petition filed by
Martin Assuncao, as president an CEO, the Debtor reports estimated
assets and liabilities between $1 million and $10 million.
Scott S. Rever has been appointed as Subchapter V trustee.
Joseph J. DiPasquale, of Fox Rothschild, LLP, is the Debtor's
counsel.
ASSUNCAO BROS: Court OKs Cash Collateral Access, $200,000 DIP Loan
------------------------------------------------------------------
Assuncao Bros., Inc. sought and obtained authority from the U.S.
Bankruptcy Court for the District of New Jersey to use cash
collateral and obtain post-petition financing, on an interim
basis.
The Debtor obtained a commitment for up to $200,000 of
post-petition financing from Vollers Excavating and Construction,
Inc., to pay, if necessary and on an interim basis, (i) accrued and
unpaid payroll as of the Petition Date (net of applicable payroll
taxes); (ii) payroll and labor costs for Non-Bonded Projects for
which the Debtor and Vollers will execute a Subcontract at closing
if the sale of certain of the Debtor's assets is approved, as
contemplated by Vollers and the Debtor; and (iii) insurance
coverage. On a final basis, the DIP Loan may be extended to be
used for expenses on the Non-Bonded Projects for which the Debtor's
Subcontracts are approved if the anticipated asset sale is
approved.
The Debtor proposes to grant the DIP Lender a first priority lien
on the Debtor's assets.
The Debtor also obtained permission to use cash collateral subject
to the terms of the DIP/Cash Collateral Orders, and grant adequate
protection to Manasquan Bank in respect of its rights under
prepetition loan documents and its interests in the Prepetition
Collateral, with respect to any diminution in the value of such
rights and interests on and after the Petition Date.
The Debtor intends to continue operating its business post-petition
through a sale of its business and assets.
The Debtor has a line of credit with Manasquan Bank pursuant to a
promissory note, loan agreement, security agreements, mortgages,
pledge agreements, collateral assignments, guarantees, and other
agreements, instruments, certificate, and documents dated August
24, 2015. The Line of Credit was originally $700,000 and was
increased to $1,000,000 on November 16, 2017. The Loan Documents
were modified by a Loan Modification Agreement by and between the
Debtor and Manasquan Bank, executed on August 14, 2019, whereby,
among other things, the Line of Credit was further increased to
$1,300,000. The Debtor executed a security agreement, pursuant to
which the Debtor granted Manasquan Bank the Prepetition Lien in the
Prepetition Collateral.
As further security for the Prepetition Loan, non-debtors Martin
Assuncao and Lisa Assuncao (i) executed a guaranty agreement for
the Debtor's obligations under the Loan Agreement -- which they
consented to continue unaltered in conjunction with the
Modification -- and (ii) gave Manasquan Bank a mortgage in the
Guarantors' property in Warren, New Jersey.
As of the Petition Date, the outstanding amount due and owing by
the Debtor to Manasquan Bank is approximately $1,309,232.
The Debtor believes the value of its assets securing the Manasquan
Loan is insufficient to pay the loan in full, and thus Manasquan
Bank is undersecured. Manasquan Bank disputes that assertion.
Manasquan Bank filed a UCC-1 financing statement relating to the
Prepetition Lien with the Department of Treasury, State of New
Jersey on August 25, 2015. Manasquan Bank filed a UCC-3
continuation on July 21, 2020.
On May 3, 2021, the Debtor executed a Loan Authorization and
Agreement with the U.S. Small Business Administration for an
Economic Injury Disaster Loan, the principal amount of which was
$500,000. The annual interest rate of the SBA Loan is 3.75%. Under
the terms of the SBA Note, the Debtor must pay principal and
interest payments of $2,437 every month beginning in May 2022. SBA
will apply each installment payment first to pay interest accrued
to the day SBA receives the payment and will then apply any
remaining balance to reduce principal. All remaining principal and
interest is due and payable 30 years from May 2021.
As security for the payment of the Debtor's obligations under the
SBA Loan Agreement, the Debtor executed a security agreement,
pursuant to which the Debtor granted to the SBA a security interest
in: all tangible and intangible personal property.
The SBA filed a UCC-1 financing statement relating to the SBA Loan
with the Department of Treasury, State of New Jersey on May 17,
2021. As such, and to the extent that the SBA and Manasquan Bank
have valid and enforceable liens, the SBA is subordinate to
Manasquan Bank with respect to their respective security interests
in the cash collateral.
As of the Petition Date, the principal balance due under the SBA
Loan is approximately $500,000.
As adequate protection for the Debtor's use of cash collateral,
Manasquan Bank is granted the Adequate Protection Liens, but
without requiring any additional filing or recordation of
statements or documents.
Manasquan Bank is also granted an allowed claim under section
507(b) of the Bankruptcy Code to the extent of any diminution of
Manasquan Bank's cash collateral from the Petition Date. The
Adequate Protection Superpriority Claim will have priority over all
administrative expense claims, including administrative expenses of
the kinds specified in or ordered pursuant to Sections 503(b) and
507(b) of the Bankruptcy Code, and unsecured claims against the
Debtor and its Estate now existing or hereafter arising, of any
kind or nature whatsoever.
A copy of the motion is available at https://bit.ly/3vIvDUx from
PacerMonitor.com.
A copy of the order is available at https://bit.ly/3Qnsstb from
PacerMonitor.com.
About Assuncao Bros., Inc.
Assuncao Bros., Inc. is a contractor that specializes in concrete
work, including, but not limited to, curb, sidewalk, bridge,
barriers, and slabs. The Debtor sought protection under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D. N.J. Case No. 22-16159-CMG)
on August 3, 2022. In the petition signed by Martin Assuncao,
president and chief executive officer, the Debtor disclosed up to
$10 million in both assets and liabilities.
Judge Christine M. Gravelle oversees the case.
Joseph J. DiPasquale, Esq., at Fox Rothschild LLP is the Debtor's
counsel.
AZZ INC: S&P Alters Outlook to Positive, Affirms 'B' ICR
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S&P Global Rating revised the outlook on AZZ Inc. to positive from
stable and affirmed its 'B' issuer credit rating on the company.
The positive outlook indicates the potential for an upgrade in the
next 12 months if AZZ maintains leverage below 4x while it
continues to work through the integration of the Precoat Metals
(acquisition.
AZZ Inc. has entered into a definitive agreement to divest of 60%
of its interest in the infrastructure solutions (IS) segment as
part of a joint venture to be controlled by Fernweh Group LLC.
S&P believes the 60% divestiture of the lower margin and volatile
IS segment should improve margins and reduce significant volatility
in cash flows.
The divestiture of majority interest in the IS segment should
improve margins and reduce volatility in cash flows. S&P said,
"Following the divestiture, we forecast margins will strengthen to
about 23%-24% in fiscal years 2023 and 2024, which compares
favorably with our prior assessment of 18%-21%. The IS segment is
composed of many lower-margin businesses and exhibited significant
volatility as it was exposed to oil and gas markets. The
divestiture of the majority interest is aligned with the company's
long-term plan of transforming itself into a predominantly metals
coating business. The improved margin profile of the remaining
business, including the Precoat acquisition, should offset the loss
of scale as the IS business contributed average annual revenues of
about $450 million. Our expectation of stronger margins is
supported by AZZ's highly variable cost structure (70%-80%),
pass-through mechanisms, and non-exposure to steel and aluminum
prices."
AZZ's leverage could improve to 4.0x-4.5x as a result of debt
reduction. The company expects cash proceeds of about $228 million
from the sale of the 60% stake in the IS segment. S&P said, "AZZ
expects to apply all the proceeds to pay down its debt that was
obtained to finance the Precoat acquisition. This would lead to
leverage improving to 4.3x in fiscal 2023 compared with our prior
assessment of 4.5x. This could improve further should future
discretionary cash flows be applied towards debt reduction. We
believe the company is incentivized to use future discretionary
cash toward debt repayment because its debt load will still be at
its highest levels in many years (about $1.2 billion after
accounting for potential reduction using the sales proceeds) and
the company has a history of operating with low debt levels.
Furthermore, its credit agreement caps dividends and share
repurchases to a maximum of 6% of its market capitalization.
Notwithstanding, there are likely alternative uses vying for future
discretionary cash and total leverage improvement is also
influenced by the successful integration and operation of
Precoat."
S&P said, "The positive outlook reflects the potential for an
upgrade in the next 12 months if AZZ successfully integrates
Precoat while maintaining leverage below 4x. We expect strong cash
flow generation will support management's deleveraging efforts.
"We could raise our ratings on AZZ if it maintains leverage below
4x while integrating Precoat. This could happen if the company
continues to pay down debt using discretionary cash flows while
successfully integrating Precoat and managing the carve out of the
IS segment.
"We could revise our outlook to stable if the company's earnings
are weaker than expected due to unexpected challenges with the
Precoat integration, leading to leverage sustained above 4x."
ESG credit indicators: E-2 S-2 G-2
B&G PROPERTY: Seeks to Hire Vanden Bos & Chapman as Legal Counsel
-----------------------------------------------------------------
B&G Property Investments, LLC seeks approval from the U.S.
Bankruptcy Court for the District of Oregon to hire Vanden Bos &
Chapman, LLP to serve as legal counsel in its Chapter 11 case.
The firm's services include:
(a) providing the Debtor with legal advice with respect to its
powers and duties in the operation of its business;
(b) instituting adversary proceedings;
(c) representing the Debtor generally in the bankruptcy
proceedings and preparing legal papers; and
(d) performing all other necessary legal services.
The firm's hourly rates are as follows:
Ann K. Chapman, Managing Partner $475 per hour
Douglas R. Ricks, Partner $425 per hour
Christopher N. Coyle, Partner $415 per hour
Colleen A. Lowry, Associate $375 per hour
Certified Bankruptcy Assistants $260 per hour
Legal Assistants $145 per hour
As disclosed in court filings, Vanden Bos & Chapman does not
represent interests adverse to the Debtor or to the estate in the
matters upon which it is to be engaged.
The firm can be reached through:
Douglas R. Ricks, Esq.
Vanden Bos & Chapman, LLP
319 SW Washington, Suite 520
Portland, OR 97204
Tel: 503-241-4869
Fax: 503-241-3731
Email: doug@vbcattorneys.com
About B&G Property Investments
B&G Property Investments, LLC, a company in Medford, Ore., filed
its voluntary petition for relief under Chapter 11 of the
Bankruptcy Code (Bankr. D. Ore. Case No. 22-60998) on July 29,
2022, listing $10 million to $50 million in both assets and
liabilities. Keith Boyd, manager, signed the petition.
Judge Thomas M. Renn presides over the case.
Douglas R. Ricks, Esq., at Vanden Bos & Chapman, LLP represents the
Debtor as counsel.
BENNING MCLEAN: Taps Brown Rudnick, Sandground as Special Counsels
------------------------------------------------------------------
Benning McLean Holdings, LLC received approval from the U.S.
Bankruptcy Court for the Eastern District of Virginia to employ
Brown Rudnick, LLP and Sandground West Silek Raminpour & Wright,
PLC as special counsels.
The Debtor requires legal assistance in all aspects of its
contemplated litigation against certain lenders resulting from the
alleged fraudulent conduct of Napolean Ibiezugbe and Kevin Falkner,
holders of minority membership interest in the Debtor, in
connection with the loans that they fraudulently obtained in the
Debtor's name and the unauthorized liens that purport to encumber
the Debtor's real properties in Washington, DC.
The firm will be paid at these rates:
Andrew C. Crawford, Esq. $855 per hour
Brian D. West, Esq. $600 per hour
Andrew Crawford, Esq., a partner at Brown Rudnick and Brian West,
Esq., a partner at Sandground, disclosed in court filings that
their firms are "disinterested" as the term is defined in Section
101(14) of the Bankruptcy Code.
The firms can be reached at:
Andrew C. Crawford, Esq.
Brown Rudnick, LLP
601 13th St. NW #600
Washington, DC
Tel: (202) 536-1731
Fax: (212) 938-2953
Email: acrawford@brownrudnick.com
-- and --
Brian D. West, Esq.
Sandground West Silek Raminpour & Wright, PLC
8229 Boone Blvd Suite 610
Vienna, VA 22182
Tel: (703) 564-4600
Email: info@swsrlaw.com
About Benning McLean Holdings
Benning McLean Holdings, LLC, a company in Falls Church, Va.,
sought voluntary Chapter 11 bankruptcy protection (Bankr. E.D. Va.
Case No. 22-10311) on March 21, 2022, listing as much as $10
million in both assets and liabilities. Yu-Dee Chang, managing
agent, signed the petition.
Judge Klinette H. Kindred oversees the case.
The Debtor tapped Steven B. Ramsdell, Esq., at Tyler, Bartl &
Ramsdell, PLC as bankruptcy counsel; and Brown Rudnick, LLP and
Sandground West Silek Raminpour & Wright, PLC as special counsels.
BIOSTAGE INC: Incurs $1.35 Million Net Loss in Second Quarter
-------------------------------------------------------------
Biostage, Inc. filed with the Securities and Exchange Commission
its Quarterly Report on Form 10-Q disclosing a net loss of $1.35
million on zero revenue for the three months ended June 30, 2022,
compared to a net loss of $382,000 on zero revenue for the three
months ended June 30, 2021.
For the six months ended June 30, 2022, the Company reported a net
loss of $3.52 million on zero revenue compared to a net loss of
$1.26 million on zero revenue for the six months ended June 30,
2021.
David Green, the Company's founder, chairman and interim chief
executive officer said, "We are very pleased with our progress this
quarter which sets the company up for initiating its FDA-approved
clinical trial in severe esophageal disease and enhances the
potential attainment of our goal of uplisting to NASDAQ."
As of June 30, 2022, the Company had $5.16 million in total assets,
$2.14 million in total liabilities, $4.02 million in series E
convertible preferred stock, and a total stockholders' deficit of
$997,000.
As of June 30, 2022, the Company had operating cash on-hand of $4.6
million. The Company used net cash in operations of $1.7 million
during the six months ended June 30, 2022. During the quarter
ended June 30, 2022, the Company received aggregate net proceeds of
approximately $5.1 million from a private placement.
Based on the Company's current cash on-hand and given consideration
to its operating plan, the Company expects that its current cash
will be sufficient to fund its operating expenses and capital
expenditure requirements into the second quarter of 2023.
The Company has incurred operating losses since inception, and as
of June 30, 2022, it had an accumulated deficit of approximately
$80.5 million. The Company is currently investing significant
resources in the development and commercialization of its product
candidates for use by clinicians and researchers in the fields of
regenerative medicine and bioengineering. As a result, the Company
expects to incur operating losses and negative operating cash flows
for the foreseeable future.
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/0001563665/000155837022012243/tmb-20220630x10q.htm
About Biostage
Holliston, Massachusetts-based Biostage, Inc. -- www.biostage.com
-- is a clinical-stage biotech company that uses cell therapy to
regenerate organs inside the human body to treat cancer, trauma and
birth defects. The Company has performed the world's first
regeneration of an esophagus in a human cancer patient. This
surgery was performed at Mayo Clinic and was published in August
2021.
Biostage reported a net loss of $7.98 million for the year ended
Dec. 31, 2021, compared to a net loss of $4.87 million for the year
ended Dec. 31, 2020. As of March 31, 2022, the Company had
operating cash on-hand of $0.7 million. The Company used net cash
in operations of $0.5 million during the quarter ended March 31,
2022.
Flushing, New York-based Wei, Wei & Co., LLP, the Company's auditor
since 2021, issued a "going concern" qualification in its report
dated March 31, 2022, citing that the Company has suffered
recurring losses from operations, has an accumulated deficit, uses
cash flows in its operations, and will require additional financing
to continue to fund its operations. This raises substantial doubt
about the Company's ability to continue as a going concern.
BMW NATIONWIDE: Court OKs Deal on Cash Collateral Access
--------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California
approved the Stipulation filed by BMW Nationwide Security, Inc. and
the U.S. Small Business Administration authorizing the Debtor to
use cash collateral.
The SBA consents to the Debtor's use of cash collateral through
plan confirmation for payment of the ordinarily and necessary
expenses as set forth in Debtor's cash collateral budget.
As previously reported by the Troubled Company Reporter, the SBA
asserts an interest in the Debtor's cash collateral. The SBA's
interest is secured by all assets of the Debtor, which constitutes
cash collateral.
On September 2, 2020, the Debtor executed a note pursuant to which
the Debtor obtained a $150,000 loan from the SBA. The Original Note
was subsequently amended twice, on August 11, 2021, increasing the
SBA Loan amount to a total of $500,000, and again on October 17,
2021, increasing the SBA Loan to a cumulative total of $2,000,000.
The Debtor's use of cash collateral may be renewed upon subsequent
stipulation with the SBA or by Court order on the Debtor's cash
collateral motion.
A continued hearing on the matter is scheduled for August 23, 2022
at 11 a.m.
A copy of the order is available at https://bit.ly/3vIzP6P from
PacerMonitor.com.
About BMW Nationwide Security Inc.
BMW Nationwide Security Inc. sought protection under Chapter 11 of
the U.S. Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-12988) on
May 27, 2022. In the petition signed by Leo S. Gilbert, president,
the Debtor disclosed up to $500,000 in assets and up to $1 million
in liabilities.
Judge Vincent P. Zurzolo oversees the case.
The Law Offices of Michael Jay Berger is the Debtor's counsel.
BROADRIDGE LA: Voluntary Chapter 11 Case Summary
------------------------------------------------
Debtor: Broadbridge LA LLC
45 N Station Plz
Ste 402
Great Neck, NY 11021-5011
Business Description: The Debtor is engaged in activities related
to real estate. The Debtor is the sole
owner of a major but incomplete commercial
real estate development project in Downtown,
Los Angeles, comprising of approximately one
million square feet of commercial space.
Chapter 11 Petition Date: August 9, 2022
Court: United States Bankruptcy Court
Eastern District of New York
Case No.: 22-72048
Judge: Hon. Louis A. Scarcella
Debtor's Counsel: Kevin J. Nash, Esq.
GOLDBERG WEPRIN FINKEL GOLDSTEIN LLP
1501 Broadway 22nd Floor
New York, NY 10036
Tel: (212) 221-5700
Email: knash@gwfglaw.com
Estimated Assets: $100 million to $500 million
Estimated Liabilities: $100 million to $500 million
The petition was signed by Joel Schreiber as manager.
The Debtor failed to include in the petition a list of its 20
largest unsecured creditors.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/EV2TPVA/Broadbridge_LA_LLC__nyebke-22-72048__0001.0.pdf?mcid=tGE4TAMA
BROOKS BROTHERS: Ex-Owners Can't Duck Suit Over Chapter 11 Sale
---------------------------------------------------------------
Rachel Scharf of Law360 reports that a New York state judge on
Thursday, August 4, 2022, kept alive claims that the former owners
of Brooks Brothers used bankruptcy to withhold millions from a
minority investor, saying there are "far too many" questions about
the clothing retailer's asset sale to ax the lawsuit before
discovery.
During a virtual hearing, New York State Supreme Court Justice
Robert R. Reed refused to dismiss Hong Kong-based clothing
manufacturer TAL Apparel Ltd. 's complaint alleging ex-Brooks
Brothers CEO Claudio Del Vecchio and his son Matteo put their
personal interests above the company's by opting to "roll the dice"
on Chapter 11 in 2020.
About Brooks Brothers Group
Brooks Brothers -- https://www.brooksbrothers.com -- is a clothing
retailer with over 1,400 locations in over 45 countries. While
famous for its clothing offerings and related retail services,
Brooks Brothers is known as a lifestyle brand for men, women, and
children, which markets and sells footwear, eyewear, bags, jewelry,
watches, sports articles, games, personal care items, tableware,
fragrances, bedding, linens, food items, beverages, and more.
Brooks Brothers Group, Inc. is the Debtors' ultimate corporate
parent, which directly or indirectly owns each of the other Debtor
entities.
Brooks Brothers Group, Inc. and 12 of its affiliates filed for
Chapter 11 protection (Bankr. D. Del., Lead Case No. 20-11785) on
July 8, 2020. The petitions were signed by Stephen Marotta, chief
restructuring officer. The Debtors were estimated to have assetsand
liabilities to total $500 million to $1 billion.
The Honorable Christopher S. Sontchi presides over the cases.
Richards, Layton & Finger, P.A., and Weil, Gotshal & Manges LLP
serve as counsel to the Debtors. PJ Solomon, L.P acts as investment
banker; Ankura Consulting Group LLC as financial advisor; and Prime
Clerk LLC as claims and noticing agent.
On July 21, 2020, the Office of the United States Trustee appointed
the Committee pursuant to section 1102 of the Bankruptcy Code. On
July 24, 2020, and July 27, 2020, respectively, the Committee
selected Akin Gump Strauss Hauer & Feld LLP and Troutman Pepper
Hamilton Sanders LLP as its counsel, and on July 27, 2020, the
Committee selected FTI Consulting, Inc., as its financial advisor.
CARVANA CO: Incurs $439 Million Net Loss in Second Quarter
----------------------------------------------------------
Carvana Co. filed with the Securities and Exchange Commission its
Quarterly Report on Form 10-Q disclosing a net loss of $439 million
on $3.88 billion of net sales and operating revenues for the three
months ended June 30, 2022, compared to net income of $45 million
on $3.34 billion of net sales and operating revenues for the three
months ended June 30, 2021.
For the six months ended June 30, 2022, the Company reported a net
loss of $945 million on $7.38 billion of net sales and operating
revenues compared to a net loss of $37 million on $5.58 billion of
net sales and operating revenues for the same period in 2021.
As of June 30, 2022, the Company had $10.50 billion in total
assets, $9.64 billion in total liabilities, and $864 million in
total stockholders' equity.
"We made significant progress in Q2 across many fronts. We closed
our acquisition of ADESA, outlined a new operating plan to quickly
adapt to the changing market, and drove sequential improvement on
all key metrics," said Ernie Garcia, founder and CEO of Carvana.
"We also continue to deliver car buying experiences our customers
love and are rapidly gaining market share as a result despite
several industry and economic headwinds. We remain on the path to
becoming the largest and most profitable auto retailer."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/0001690820/000169082022000253/cvna-20220630.htm
About Carvana
Founded in 2012 and based in Tempe, Arizona, Carvana Co. --
http://www.carvana.com-- is an e-commerce platform for buying and
selling used cars. The Company is transforming the used car buying
and selling experience by giving consumers what they want -- a wide
selection, great value and quality, transparent pricing, and a
simple, no pressure transaction.
Carvana Co. reported a net loss of $287 million in 2021, a net loss
of $462 million in 2020, a net loss of $365 million in 2019, a net
loss of $254.74 million in 2018, and a net loss of $164.32 million
in 2017. As of March 31, 2022, the Company had $7.59 billion in
total assets, $7.53 billion in total liabilities, and $52 million
in total stockholders' equity.
* * *
As reported by the TCR on April 27, 2022, S&P Global Ratings
affirmed its 'CCC+' issuer credit rating on Carvana Co. S&P said,
"The affirmation and positive outlook reflect our expectation that
the company's margins will slowly recover from issues in early 2022
and that the acquisition will support Carvana's growth strategy to
leverage an enhanced physical footprint, though it will delay its
path to positive free operating cash flow (FOCF)."
In April 2022, Moody's Investors Service downgraded Carvana Co.'s,
corporate family rating to Caa1 from B3. Moody's said the
downgrade reflects Carvana's very weak credit metrics, persistent
lack of profitability and negative free cash flow generation which
Moody's expect to continue as the company embarks on building out,
adequately staffing and ramping up acquired sites and existing
locations to where they are cash flow positive on a sustained
basis. The downgrade also reflects governance considerations
particularly Carvana's financial policies which support its
external floor plan facilities going current despite the
expectation for significant negative free cash flow as well as its
decision to finance the ADESA acquisition partially with debt
despite its very high leverage.
CHOOM HOLDINGS: High Tide Purchases 8 Cannabis Stores
-----------------------------------------------------
High Tide Inc. on Aug. 4 disclosed that further to its press
release dated July 7, 2022, the Company has completed its
acquisition (the "Acquisition") through Companies' Creditors
Arrangement Act ("CCAA") Proceedings, of eight Choom operating
retail cannabis stores in British Columbia and Alberta (the
"Stores") for CAD$4.2 Million (the "Transaction"). The Company
intends to complete the acquisition of the ninth store in Niagara,
Ontario, pending regulatory approvals.
191 West 2nd Avenue in Vancouver, British Columbia (the "Vancouver
West 2nd Store"). The Vancouver West 2nd Store is located in the
trendy Mount Pleasant neighbourhood, close to numerous popular
restaurants and retail stores, as well as the Olympic Village and
Science World.
1391 Richards Street in Vancouver, British Columbia (the "Vancouver
Richards Store"). The Vancouver Richards Store is located in the
trendy and densely-populated Yaletown neighbourhood in downtown
Vancouver.
115 2nd Avenue West in Brooks, Alberta (the "Brooks Store"). The
Brooks Store is located in the centre of Brooks, close to numerous
retail businesses.
5308 50th Avenue in Cold Lake, Alberta (the "Cold Lake 50th Avenue
Store"). The Cold Lake 50th Avenue Store is part of a commercial
district in Cold Lake South containing numerous restaurants and
other businesses.
1020 8th Avenue in Cold Lake, Alberta (the "Cold Lake 8th Avenue
Store"). The Cold Lake 8th Avenue Store is located on the main
east-west street in Cold Lake North, close to several businesses,
restaurants, and hotels.
320 Centre Street in Drumheller, Alberta (the "Drumheller Store").
The Drumheller Store is located in central Drumheller, close to a
variety of local businesses and restaurants.
2719 14th Street SW in Calgary, Alberta (the "Calgary Store"). The
Calgary Store is located on a well-trafficked road in southwest
Calgary and is easily accessible for residents of nearby
communities with favourable cannabis demographics, such as Bankview
and South Calgary.
10140 107th Street in Westlock, Alberta (the "Westlock Store"). The
Westlock Store is located in the town's commercial centre, close to
numerous businesses.
For the three months ended April 30, 2022, collectively, the
Stores, along with the ninth store in Niagara, Ontario, generated
annualized revenue of CAD$10.2 million and annualized Adjusted
EBITDA of CAD$1.3 million. The purchase price (inclusive of the
Niagara store) represents 3.8x annualized Adjusted EBITDA for the
three months ended April 30, 2022.
TRANSACTION DETAILS
The Acquisition was completed pursuant to the terms of a binding
agreement dated June 28, 2022 ("Acquisition Agreement"). High Tide
acquired the Stores, including inventory, for CAD$4.2 Million, by
issuing 1,782,838 common shares of High Tide (each a "High Tide
Share") at a deemed price of $2.3375 per High Tide Share. Pursuant
to the Acquisition Agreement, 70% of the High Tide Shares issued
are subject to a four month hold.
The closing of the Acquisition remains subject to final approval
from the TSXV.
About High Tide
High Tide (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA) is a
retail-focused cannabis company with bricks-and-mortar as well as
global e-commerce assets.
About Choom Holdings
Choom Holdings Inc. is a Canadian cannabis retailer with
significant retail presence in Canada. The Choom brand is inspired
by Hawaii's "Choom Gang"-a group of friends in Honolulu during the
1970s who loved to have fun and smoke weed-or as the locals called
it, "Choom". Evoking the spirit of the original Choom Gang, the
brand caters to the Canadian market with the ethos of 'cultivating
good times'.
Choom Holdings Inc. (CSE: CHOO) (OTCQB: CHOOF) and certain of its
subsidiaries (Choom BC Retail Holdings Inc., 2151414 Alberta Ltd.,
2688412 Ontario Inc., and Phivida Holdings Inc., in April 2022 on
April 22, 2022, obtained an order (the "Initial Order") of the
Supreme Court of British Columbia providing the Companies
protection from their creditors pursuant to the Companies'
Creditors Arrangement Act (Canada) ("CCAA").
Ernst & Young Inc. has been appointed as monitor in the Companies'
CCAA proceeding.
Aurora Cannabis Inc. is a significant shareholder of Choom and is
providing Choom financing while undergoing a restructuring under
CCAA.
CORNELL WEST 34: 15% Owner of Building Files for Chapter 11
-----------------------------------------------------------
Cornell West 34 Holder LLC filed for chapter 11 protection in the
Eastern District of New York.
The Debtor is a holding company whose sole asset is its ownership
of 15.03% of 257-263 W 34th Street JV LLC (the "JV"). The JV's
sole asset is its ownership of 100% of the equity in 257-263 W 34th
Mezz LLC ("Mezz Co."). Mezz Co's sole asset is its ownership of
99.99% of 257-263 W 34th Street LLC (the "Prop Co"). Prop Co's
sole asset is a parcel of developed real property located at
257-263 W 34th Street in Midtown Manhattan. The Property is a
commercial building, largely vacant at this point due to inability
to lease and attract tenants as a result of the Covid-19 pandemic.
Once stabilized however, the Property has a potential value equal
to or in excess of the mortgage debt of $52 million.
Since the Debtor indirectly owns 15.03% of the Property, it has a
keen interest in attempting to refinance and stabilize the Property
despite the intervening commencement of foreclosure proceedings,
which are now pending in the Federal Court (SDNY 1:22cv01991)
subject to a motion to remand.
Specifically, PropCo obtained a $50 million mortgage loan facility
from Marathon CRE 2018-FL1 Issuer, Ltd., in 2018. Thereafter, the
senior debt became subject to multiple purported inter-company
transfers, some of which appear suspect. The Debtor learned that
the entity purporting to hold the Senior Debt is proceeding with
foreclosure alleging a myriad of defaults in the underlying loan
documents.
The Debtor was not joined in the foreclosure action. But the
Debtor notes that if the putative lender is permitted to complete
foreclosure, it will deprive the Debtor of its equity in the
Property without providing notice or the opportunity to be heard.
The Debtor has invested approximately $7.5 million in the Property,
a significant part of which represents borrowed funds all of which
will be forfeited without a necessary restructuring.
According to court filing, Cornell West 34 Holder LLC estimates
between 1 and 49 unsecured creditors. The petition states funds
will not be available to unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Sept. 2, 2022, at 10:00 AM at Teleconference - Brooklyn.
About Cornell West 34 Holder
On August 3, 2022, Cornell West 34 Holder LLC filed for chapter 11
protection (Bankr. E.D.N.Y. Case No. 22-41888). In the petition
filed by David Goldwasser, as manager, the Debtor reported assets
between $1 million and $10 million against liabilities of the same
range.
J Ted Donovan, of Goldberg Weprin Finkel Goldstein LLP, is the
Debtor's counsel.
CREDITO REAL: Akin Gump, Potter Anderson Represent Noteholder Group
-------------------------------------------------------------------
Pursuant to Rule 2019 of the Federal Rules of Bankruptcy Procedure,
the law firms of Akin Gump Strauss Hauer & Feld LLP and Potter
Anderson & Corroon LLP submitted a verified statement to disclose
that they are representing the Ad Hoc Group of Petitioning
Creditors in the Chapter 11 cases of Credito Real, S.A.B. de C.V.,
SOFOM, E.N.R.
On June 22, 2022, the petitioning creditors commenced an
involuntary case against the Putative Debtor under chapter 11 of
title 11 of the United States Code. Each of the Petitioning
Creditors is a member of the Ad Hoc Group.
Akin Gump Strauss Hauer & Feld LLP and Potter Anderson & Corroon
LLP represent the Ad Hoc Group, including those members of the Ad
Hoc Group who are Petitioning Creditors, in connection with the
Putative Debtors' chapter 11 case. Akin Gump and Potter Anderson do
not represent or purport to represent any other entities in
connection with the Putative Debtor's chapter 11 case. Akin Gump
and Potter Anderson do not represent the Ad Hoc Group or the
Petitioning Creditors as a "committee" and do not undertake to, and
do not, represent the interests of, and are not a fiduciary for,
any creditor, party in interest, or entity other than the Ad Hoc
Group and the Petitioning Creditors. In addition, neither the Ad
Hoc Group nor the Petitioning Creditors represent or purport to
represent, or serves as fiduciary for, any other entities in
connection with the Putative Debtor's chapter 11 case.
As of Aug. 4, 2022, members of the Ad Hoc Group and their
disclosable economic interests are:
Amundi Asset Management (US)
280 S. Mangum #301
Durham, NC 27701
* $19,483,000 of the 8.000% Senior Notes due 2028
* $2,800,000 of the 9.500% Senior Notes due 2026
Amundi (UK) Limited
77 Coleman Street
London EC2R 5BJ
United Kingdom
* $2,600,000 of the 5.000% Senior Notes due 2027
* $10,500,000 of the 8.000% Senior Notes due 2028
* $8,550,000 of the 9.500% Senior Notes due 2026
Aquila Asset Management ZH AG
Bleicherweg 33
8002 Zurich
Switzerland
* EUR 500,000 of the 5.000% Senior Notes due 2027
* $5,000,000 of the 8.000% Senior Notes due 2028
* $3,000,000 of the 9.500% Senior Notes due 2026
Clients of Bank of Julius Baer & Co. Ltd., Zurich
Bank Julius Baer & Co. Ltd.
Bahnhofstrasse 36 8010
Zurich, Switzerland
* $7,925,265 of the 2.875% Bonds due 2022
* $29,553,538 of the 5.000% Senior Notes due 2027
* $9,252,864 of the 7.250% Senior Notes due 2023
* $21,149,551 of the 8.000% Senior Notes due 2028
* $7,289,383 of the 9.500% Senior Notes due 2026
* $5,337,276 of the 9.125% Perpetual Notes
Cairn Capital Limited
62 Buckingham Gate
London SW1E 6AJ
* EUR 20,992,000 of the 5.000% Senior Notes due 2027
* $4,400,000 of the 7.250% Senior Notes due 2023
* $32,131,000 of the 8.000% Senior Notes due 2028
* $12,923,000 of the 9.500% Senior Notes due 2026
DoubleLine Capital LP
2002 N. Tampa Street, Suite 200
Tampa, FL 33602
* $7,400,000 of the 9.500% Senior Notes due 2026
* $45,336,000 of the 9.125% Perpetual Notes
Invesco Advisors, Inc.
1555 Peachtree St. NE
Atlanta, GA 30309
* $96,897.79 of the 5.000% Senior Notes due 2027
* $31,800 of the 7.250% Senior Notes due 2023
* $68,762.50 of the 8.000% Senior Notes due 2028
* $179,250 of the 9.500% Senior Notes due 2026
* 2,460,800 shares of common equity issued by Credito Real
Manulife Investment Management
197 Clarendon Street
Boston, MA 02116
* $265,000 of the 7.250% Senior Notes due 2023
* $850,000 of the 8.000% Senior Notes due 2028
* $18,447,000 of 9.500% Senior Notes due 2026
* $5,000,000 of the 9.125% Perpetual Notes
Vontobel Asset Management AG
Gotthardstrasse 43
CH-8022 Zurich
Switzerland
* EUR 6,000,000 of the 5.000% Senior Notes due 2027
* $3,000,000 of the 7.250% Senior Notes due 2023
* $27,668,000 of the 8.000% Senior Notes due 2028
* $6,322,000 of the 9.500% Senior Notes due 2026
BD Capital S.A.F. S.A.C.
Av. Pardo y Aliaga
640, Oficina 603
San Isidro, Lima
Peru
* $7,056,730.64 of loans under the 2019 Credit Suisse Credit
Facility Credito Real as borrower.
Lender: Fondo de Inversion Senior Loan Private 9
* $8,576,484.92 of loans under the 2020 Marevalley Credit Suisse
Credit Facility tranche A. Credito Real as borrower.
Lenders: Fondo de Inversion Senior Loan Private 1
($2,472,045.65) and Fondo de Inversion Senior Loan Private 9
($6,104,439.27)
* $12,137,576.70 of loans under the 2020 Marevalley Credit Suisse
Credit Facility tranche B. Credito Real as guarantor.
Lender: Fondo de Inversion Senior Loan Private 9
* $16,951,758.54 of loans under the 2020 Credit Suisse Credit
Facility. Credito Real as borrower.
Lenders: Fondo de Inversion Senior Loan Private 1
($3,193,416.29) and Fondo de Inversion Senior Loan Private 9
($13,758,342.25)
MetroBank S.A.
Torre Metrobank
Calle Isaac Hanono Missri
Punta Pacífica, Panama
Panama
* $3,000,000 of loans under the 2019 Credit Suisse Credit Facility
* $4,900,000 of loans under the 2020 Marevalley Credit Suisse
Credit Facility
Banco Monex S.A. Institucion de Banca Multiple Monex Grupo
Financiero
Paseo de la Reforma
284 Mexico City
Mexico 06600
* $2,000,000 of loans under the 2019 Credit Suisse Credit Facility
Counsel to the Ad Hoc Group and the Petitioning Creditors can be
reached at:
POTTER ANDERSON & CORROON LLP
Christopher M. Samis, Esq.
L. Katherine Good, Esq.
1313 N. Market Street, 6th Floor
Wilmington, DE 19801-3700
Telephone: (302) 984-6000
Facsimile: (302) 658-1192
E-mail: csamis@potteranderson.com
kgood@potteranderson.com
- and -
AKIN GUMP STRAUSS HAUER & FELD LLP
Ira S. Dizengoff, Esq.
David H. Botter, Esq.
Abid Qureshi, Esq.
One Bryant Park
New York, NY 10036
Telephone: (212) 872-1000
Facsimile: (212) 872-1002
E-mail: idizengoff@akingump.com
dbotter@akingump.com
aqureshi@akingump.com
James Savin, Esq.
Kevin Eide, Esq.
Alexander F. Antypas, Esq.
2001 K Street NW
Washington, DC 20006
Telephone: (202) 887-4000
Facsimile: (202) 887-4288
E-mail: jsavin@akingump.com
keide@akingump.com
aantypas@akingump.com
A copy of the Rule 2019 filing, downloaded from PacerMonitor.com,
is available at https://bit.ly/3JFAMlT and https://bit.ly/3QcFvhl
About Credito Real SAB
Credito Real SAB de CV SOFOM ENR is a Mexico-based company that
provides consumer financing. Credito is Mexico's biggest payroll
lender and second largest non-bank lender after Real Unifin.
Credito Real provides loans, either by providing direct financing
to consumers or by establishing financing programs with consumer
financing dealers that sell to Credito Real the collection rights
from consumer financing products. It also provides financing
directly to individuals that are employed by corporations with
payroll deduction agreements with consumer financing dealers
authorized by Credito Real. Credito Real operates through a number
of subsidiaries, including AFS Acceptance LLC.
Three alleged creditors signed a petition to send Credito Real to
Chapter 11 bankruptcy on June 22, 2022 (Bankr. S.D.N.Y. Case No.
22-10842). Institutional Multiple Investment Fund LLC, of Boston,
Massachusetts; Banco Monex, S.A., of Mexico, and Solitaire Fund, of
Liechtenstein, who claim to own an aggregate $8 million of
unsecured bond debt, signed the involuntary Chapter 11 petition.
David H. Botter, Esq., at Akin Gump Strauss Hauer & Feld LLP is
advising the three bondholders.
On June 28, 2022, Angel Francisco Romanos Berrondo, one of the
Debtor's shareholders and the former CEO of Credito Real, filed a
petition, in his capacity as a shareholder, with the Mexican Court
seeking to commence the Mexican Liquidation Proceeding.
On June 30, 2022, the Mexican Court entered an order commencing the
dissolution and liquidation proceedings for the Company and
appointing Mr. Fernando Alonso-de-Florida Rivero as the Mexican
Liquidator.
The liquidator for Credito Real filed a Chapter 15 bankruptcy
petition (Bankr. D. Del. Case No. 22-10630) on July 14, 2022, to
seek U.S. recognition of the Mexican proceedings. The petition
was signed by Robert Wagstaff, the foreign representative of the
liquidator. Richards, Layton & Finger, P.A., led by John Henry
Knight, is counsel in the U.S. case.
CRYSTAL SPOON: Taps Armaan Shaviri & Company as Accountant
----------------------------------------------------------
The Crystal Spoon Corp. received approval from the U.S. Bankruptcy
Court for the Southern District of New York to employ Armaan
Shaviri & Company, E.A. as its accountant.
The firm will assist in the preparation of tax returns and in
maintaining the Debtor's books and records.
The firm will charge an annual fee of $9,880, to be paid by the
Debtor in weekly installments of $190.
Armaan Shaviri, a partner at Armaan Shaviri & Company, disclosed in
a court filing that the firm is a "disinterested person" as the
term is defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Armaan Shaviri
Armaan Shaviri & Company, E.A.
55 Old Nyack Turnpike Suite 610
Nanuet, NY, 10954
Tel: (239) 449-8558
Fax: (224) 365-0400
About The Crystal Spoon Corp.
Headquartered in Elmsford, N.Y., The Crystal Spoon Corp., also
known as Top Chef Meals, is into distribution of prepared meals,
co-packing for other suppliers and catering.
Crystal Spoon sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. S.D.N.Y. Case No. 22-22277) on May 18, 2022, listing
as much as $1 million in both assets and liabilities. Paul Ghiron,
president of Crystal Spoon, signed the petition.
Judge Sean H. Lane oversees the case.
Anne Penachio, Esq., at Penachio Malara, LLP and Armaan Shaviri &
Company, E.A. serve as the Debtor's legal counsel and accountant,
respectively.
DENTAL LAND: Gets Interim Cash Collateral Access
------------------------------------------------
The U.S. Bankruptcy Court for the District of Maryland authorized
Dental Land Pediatrics, LLC to use cash collateral on an interim
basis in accordance with its its agreement with Bank of America,
NA.
As previously reported by the Troubled Company Reporter, the Debtor
requires use of cash collateral to operate the business, maintain
its financial affairs and pay trustee escrow.
Bank of America, N.A., maintains a lien that encumbers the Debtor's
business assets including cash collateral.
The parties agreed to establish the Bank of America secured claim
at $204,000 as evidenced by it proof of claim number 4 with
attachments filed on June 13, 2022. Bank of America's secured claim
will be paid over five years at a variable prime rate not to exceed
5%. The parties acknowledged that the prime rate is currently
4.75%.
The Debtor agreed to pay Bank of America $3,826 per month. The
parties agreed that interest/adequate protection payments on the
Bank of America secured claim will be $807 monthly and will
commence immediately upon entry of the Order and will be due and
owing on the 10th day of each month thereafter.
The Debtor may use the cash collateral as set forth in the
Budget/Monthly Operating Report which may vary from month to month
for the specific purposes set forth in the Budget for the Budget
Period commencing nunc pro tunc from April 24 through October 23,
2022, or such later date as may be agreed to in writing by the
Lender and the Debtor and approved by the Court.
A copy of the order is available at https://bit.ly/3bxmirE from
PacerMonitor.com.
About Dental Land Pediatrics
Dental Land Pediatrics, LLC, a pediatric dental clinic in Bowie,
Md., filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. D. Md. Case No. 22-12169) on April 24,
2022, listing up to $50,000 in assets and up to $1 million in
liabilities. Michael Wolff serves as Subchapter V trustee.
Judge Lori S. Simpson oversees the case.
The Debtor tapped Frank Morris, II, Esq., at the Law Office of
Frank Morris II as bankruptcy counsel; Winstead Tax Group, LLC as
tax counsel; and Comprehensive Business of Northern Virginia, LLC
as accountant.
DIOCESE OF ROCKVILLE: New Adult Abuse Claims Allowed in Chapter 11
------------------------------------------------------------------
Rick Archer of Law360 reports that a New York bankruptcy judge
Thursday said he would reopen claims filing in the Roman Catholic
Diocese of Rockville Centre's Chapter 11 case for survivors of
sexual abuse as adults, but declined to set a filing deadline until
he finds out how soon notice can be published.
At a hybrid hearing, U.S. Bankruptcy Judge Martin Glenn agreed with
the diocese that a recently enacted New York State law opening a
window for the filing of previously time-barred assault claims
justified opening a window to file those claims in the Chapter 11
case.
About The Roman Catholic Diocese
of Rockville Centre, New York
The Roman Catholic Diocese of Rockville Centre, New York, is the
seat of the Roman Catholic Church on Long Island. The Diocese has
been under the leadership of Bishop John O. Barres since February
2017. The State of New York established the Diocese as a religious
corporation in 1958. The Diocese is one of eight Catholic dioceses
in New York, including the Archdiocese of New York. The Diocese's
total Catholic population is approximately 1.4 million, roughly
half of Long Island's total population of 3.0 million. The Diocese
is the eighth largest diocese in the United States when measured by
the number of baptized Catholics.
The Roman Catholic Diocese of Rockville Centre, New York, filed a
Chapter 11 petition (Bankr. S.D.N.Y. Case No. 20-12345) on Sept.
30, 2020, listing as much as $500 million in both assets and
liabilities.
The Diocese tapped Jones Day as legal counsel, Alvarez & Marsal
North America, LLC, as restructuring advisor, and Sitrick and
Company, Inc., as communications consultant. Epiq Corporate
Restructuring, LLC is the claims agent.
The U.S. Trustee for Region 2 appointed an official committee of
unsecured creditors in the Diocese's Chapter 11 case. The committee
tapped Pachulski Stang Ziehl & Jones, LLP and Ruskin Moscou
Faltischek, PC as its bankruptcy counsel and special real estate
counsel, respectively
Robert E. Gerber, the legal representative for future claimants of
the Diocese, is represented by the law firm of Joseph Hage
Aaronson, LLC. Michael A. Hogan, a retired judge, serves as the
Diocese's financial advisor.
New Case Judge
According to a notice, the Debtor's case has been reassigned from
Judge Shelley C. Chapman to Judge Martin Glenn effective June 28,
2022.
DLVAM1302: Wins Interim Cash Collateral Access Thru Oct 13
----------------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida, Tampa
Division, authorized DLVAM1302 North Shore, LLC to use the cash
collateral of HMC Assets, LLC on an interim basis, retroactive to
November 1, 2021.
The Debtor is permitted to use cash collateral to pay amounts
expressly authorized by the Court, including payments to the United
States Trustee for quarterly fees; the current and necessary
expenses set forth in the budget plus an amount not to exceed 10%
for each line item, and additional amounts as may be expressly
approved in writing by the Secured Creditors.
As adequate protection, the Secured Creditor will have perfected
post-petition liens against cash collateral to the same extent and
with the same validity and priority as the prepetition liens,
without the need to file or execute any document as may otherwise
be required under applicable non-bankruptcy law.
The Debtor will also maintain insurance coverage for its property
in accordance with the obligations under the loan and security
documents with the Secured Creditors.
The continued hearing on the matter is scheduled for October 13,
2022 at 1:30 a.m.
A copy of the order is available at https://bit.ly/3ztI6MV from
PacerMonitor.com.
About DLVAM1302 North Shore
Anna Maria, Fla.-based DLVAM1302 North Shore, LLC filed a petition
for Chapter 11 protection (Bankr. M.D. Fla. Case No. 21-05371) on
Oct. 20, 2021, disclosing $1,988,681 in total assets and $1,585,279
in total liabilities. Floyd Calhoun, manager, signed the
petition.
Judge Catherine Peek McEwen oversees the case.
The Debtor tapped Buddy D. Ford, P.A. as legal counsel.
DR. R'KIONE BRITTON: Wins Cash Collateral Access Thru Aug 30
------------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California
authorized Dr. R'Kione Britton Chiropractic Corporation to use cash
collateral on an interim basis in accordance with the budget
through August 30, 2022 and provide adequate protection.
The Court said that in accordance with the terms of the stipulation
between the Debtor and the United States Small Business
Administration, the SBA is granted replacement liens to the same
extent, validity and priority as it held pre-petition pursuant to
11 U.S.C section 361(2).
Pre-petition, on June 17, 2020, the Debtor executed an SBA Note,
pursuant to which the Debtor obtained a $150,000 loan. The Original
Note was subsequently amended three times:
on July 9, 2021, increasing the total SBA Loan amount to
$500,000;
on October 14, 2021, increasing the total SBA Loan amount to
$846,600; and
again on January 6, 2022, increasing the total SBA Loan amount
to $905,400.
The terms of the Third Modification of Note require the Debtor to
pay principal and interest payments of $4,441 every month beginning
12 months from the date of the Original Note over the 30 year term
of the SBA Loan, with a maturity date of June 17, 2050. The SBA
Loan has an annual rate of interest of 3.75% and may be prepaid at
any time without notice of penalty.
Pursuant to the SBA Loan Authorization and Agreement executed on
June 17, 2020 and the Amended SBA Loan Authorization and Agreement
executed on January 6, 2022, the Debtor is required to "use all the
proceeds of this Loan solely as working capital to alleviate
economic injury caused by disaster occurring in the month of
January 31, 2020, and continuing thereafter and pay Uniform
Commercial Code lien filing fees and a third-party UCC handling
charge of $100 which will be deducted from the Loan amount."
As evidenced by the Security Agreement executed on June 17, 2020,
the Amended Security Agreement executed on January 6, 2022, and a
validly recorded UCC-1 filing on June 27, 2020 as Filing Number
207795216261, the SBA Loan is secured by all tangible and
intangible personal property, including, but not limited to: (a)
inventory, (b) equipment, (c) instruments.
As adequate protection, the SBA will receive a replacement lien on
all post-petition revenues of the Debtor to the same extent,
priority and validity that its lien attached to the cash
collateral.
The SBA will be entitled to a super-priority claim over the life of
the Debtor's bankruptcy case, pursuant to 11 U.S.C. sections
503(b), 507(a)(2) and 507(b). The SBA claim will be limited to any
diminution in the value of the SBA's collateral, pursuant to the
SBA Loan, as a result of the Debtor's use of cash collateral on a
post-petition basis.
The Debtor agrees to maintain insurance on the Personal Property
Collateral and to designate SBA as a loss payee or additional
insured in accordance with the SBA Loan and related loan documents
and agrees to provide proof of insurance within seven days upon
written request of SBA.
A copy of the motion is available at https://bit.ly/3bu3vgV from
PacerMonitor.com.
About Dr. R'Kione Britton
Dr. R'Kione Britton Chiropractic Corporation is a healthcare
company offering chiropractic, spinal and joint care; neuropathy
treatment; spinal decompression; soft tissue rehabilitation and
pain relief; muscle and joint injury rehabilitation; chronic pain
relief care; posture restoration; laser therapy; peak performance
and sports injury treatment; and scar tissue treatment.
The Debtor sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. C.D. Cal. Case No. 22-13004) on May 31,
2022. In the petition signed by Dr. R'Kione Britton, president, the
Debtor disclosed $226,317 in assets and $1,308,118 in liabilities.
Judge Deborah J. Saltzman oversees the case.
Steven E. Cowen, Esq., at S.E. Cowen Law is the Debtor's counsel.
ENVIA HOLDINGS: Gets OK to Hire PHP Group as Broker
---------------------------------------------------
Envia Holdings, LLC received approval from the U.S. Bankruptcy
Court for the Northern District of California to hire PHP Group,
Inc. as broker.
The Debtor requires a broker to market for sale its real
properties, including two mobile homes, in Gilroy, Calif.
The firm will be paid a commission of 5 percent of gross sales
price.
Trung Tran, a partner at PHP Group, disclosed in a court filing
that the firm is a "disinterested person" as the term is defined in
Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Trung Tran
PHP Group, Inc.
1816 Tully Road #202
San Jose, CA 95122
Tel: (408) 657-9559
About Envia Holdings
Envia Holdings, LLC is a single asset real estate (as defined in 11
U.S.C. Sec. 101(51B)). The company is based in San Jose, Calif.
Envia Holdings sought protection under Chapter 11 of the Bankruptcy
Code (Bankr. N.D. Calif. Case No. 22-50489) on June 2, 2022,
listing between $1 million and $10 million in both assets and
liabilities. The case is assigned to Judge M. Elaine Hammond.
Lars T. Fuller, Esq., at The Fuller Law Firm is the Debtor's
counsel.
The Debtor filed its proposed Chapter 11 plan and disclosure
statement on July 20, 2022.
ESSA PHARMA: Incurs $8.8 Million Net Loss in Third Quarter
----------------------------------------------------------
ESSA Pharma Inc. filed with the Securities and Exchange Commission
its Quarterly Report on Form 10-Q disclosing a net loss and
comprehensive loss of $8.83 million for the three months ended June
30, 2022, compared to a net loss and comprehensive loss of $8.75
million for the three months ended June 30, 2021.
For the nine months ended June 30, 2022, the Company reported a net
loss and comprehensive loss of $28.78 million compared to a net
loss and comprehensive loss of $28.25 million for the nine months
ended June 30, 2021.
As of June 30, 2022, the Company had $175.66 million in total
assets, $4.14 million in total liabilities, and $171.52 million in
total shareholders' equity.
At June 30, 2022, the Company had available cash reserves and
short-term investments of $174.6 million reflecting the gross
proceeds of the February 2021 financing of approximately $150.0
million and July 2020 financing of $48.9 million, less operating
expenses in the intervening period. The Company's cash position is
expected to be sufficient to fund current and planned operations
through 2024.
As of June 30, 2022, the Company had 44,073,076 common shares
issued and outstanding.
"It is a busy and important time for ESSA as we advance our lead
candidate for the treatment of prostate cancer, EPI-7386, into the
dose expansion phase of the single agent trial, dose the second
cohort of patients in the Company-sponsored combination trial with
enzalutamide, and plan to initiate additional trials of EPI-7386 in
earlier-line patients," stated David Parkinson, M.D., president and
CEO of ESSA. "During this past quarter, we were pleased to report
clinical results from the Phase 1a dose escalation study
demonstrating that EPI-7386 was safe and well-tolerated at all dose
levels tested and that tumor volume decreases were observed in a
subgroup of patients with measurable disease who were on therapy
for more than 12 weeks. We also shared preliminary results from
the first cohort of patients in our Phase 1/2 combination trial
with enzalutamide."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/0001633932/000155837022012034/tmb-20220630x10q.htm
About Essa
Vancouver-based Essa Pharma, Inc. -- www.essapharma.com -- is a
clinical stage pharmaceutical company, focused on developing novel
and proprietary therapies for the treatment of prostate cancer in
patients whose disease is progressing despite treatment with
current standard of care therapies, including second-generation
anti-androgen drugs such as abiraterone, enzalutamide, apalutamide,
and darolutamide.
ESSA Pharma reported a loss and comprehensive loss of $36.81
million for the year ended Sept. 30, 2021, a loss and comprehensive
loss of $23.45 million for the year ended Sept. 30, 2020, and a net
loss and comprehensive loss of $12.75 million for the year ended
Sept. 30, 2019. As of March 31, 2022, the Company had $182.61
million in total assets, $3.89 million in total liabilities, and
$178.71 million in total shareholders' equity.
FALLSWAY CONSTRUCTION: Case Summary & 20 Top Unsecured Creditors
----------------------------------------------------------------
Debtor: Fallsway Construction Company LLC
2630 Hafer Street
Baltimore, MD 21223
Chapter 11 Petition Date: August 9, 2022
Court: United States Bankruptcy Court
District of Maryland
Case No.: 22-14340
Judge: Hon. Michelle M. Harner
Debtor's Counsel: Donald L. Bell, Esq.
LAW OFFICE OF DONALD L. BELL
6305 Ivy Lane
Suite 315
Greenbelt, MD 20770
Tel: (301) 614-0536
Fax: (301) 614-0569
Email: donbellaw@gmail.com
Total Assets: $1,109,370
Total Liabilities: $2,347,407
The petition was signed by Karen Tisdale as member.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 20 largest unsecured creditors is available
for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/QGDYCNA/Fallsway_Construction_Company__mdbke-22-14340__0001.0.pdf?mcid=tGE4TAMA
FREE SPEECH: Sandy Hook Parents Oppose Bankruptcy Payments to Jones
-------------------------------------------------------------------
Dietrich Knauth of Reuters reports that parents of children killed
in the 2012 Sandy Hook school massacre urged a U.S. bankruptcy
judge on Wednesday not to allow the parent company of far-right
website InfoWars to send any money to its founder, conspiracy
theorist Alex Jones, or his companies until they have an
opportunity to get to the bottom of InfoWars' finances.
As a jury deliberates in Austin, Texas, over how much Jones must
pay two parents for his false claims that the deadly shooting was a
hoax, families of Sandy Hook victims who have sued Jones for
defamation in that trial and others who have sued in Connecticut
warned a bankruptcy judge in Houston that Jones might continue to
pull assets from InfoWars parent company Free Speech Systems LLC
while using its bankruptcy case to avoid paying court judgments in
the defamation cases.
Marty Brimmage, an attorney for the Sandy Hook parents, told U.S.
Bankruptcy Judge Christopher Lopez in Houston on Wednesday, August
3, 2922, that Jones had told his audience that the bankruptcy would
"tie up" any defamation judgment for years.
Judges in the Texas and Connecticut cases have already found Jones
liable for defamation. The parents in the Texas trial are seeking a
judgment of $150 million.
Jones testified Wednesday in Austin, admitting that the Sandy Hook
shooting was real and that it was "crazy" of him to call it a hoax.
The jury has begun deliberations.
The company's attorneys told the bankruptcy judge on Wednesday that
they were only making a "boring" request for permission to make
routine payments on debts during the first weeks of its Chapter 11.
The company filed for bankruptcy last Friday. read more
But the Sandy Hook families said the company could not be trusted
to make accurate statements about its finances. They also allege
that Jones took $62 million from the company while burdening it
with $65 million in "fabricated" debt owed to PQPR Holdings, a
company owned by Jones and his parents.
Lopez approved a two-week budget that would allow the company to
pay its bills, but he limited the amount it could pay Jones and the
company's consultants during that period.
About Free Speech Systems LLC
Free Speech Systems LLC is a broadcast media production and
distribution company that provides broadcasting aural programs by
radio to the public. Free Speech Systems is a family-run business
founded by Alex Jones.
FSS is presently engaged in the business of producing and
syndicating Jones' radio and video talk shows and selling products
targeted to Jones' loyal fan base via the Internet. Today, FSS
produces Alex Jones' syndicated news/talk show (The Alex Jones
Show) from Austin, Texas, which airs via the Genesis Communications
Network on over 100 radio stations across the United States and via
the internet through websites including Infowars.com.
Conspiracy theorist Alex Jones has been sued by victims' family
members over Jones' lies that the 2012 Sandy Hook Elementary School
shooting was a hoax.
Jones' InfoW LLC and affiliates, IWHealth, LLC and Prison Planet
TV, LLC, filed petitions under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. S.D. Texas Lead Case No. 22-60020) on April
18, 2022.
The Debtors agreed to the dismissal of the Chapter 11 cases in June
2022 after the Sandy Hook victim families dismissed the three
bankrupt companies from their lawsuits.
Free Speech Systems filed a voluntary petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. S.D. Tex.
Case No. 22-60043) on July 29, 2022. In the petition filed by W.
Marc Schwartz, as chief restructuring officer, the Debtor reported
assets and liabilities between $50 million and $100 million.
Melissa A Haselden added to case as trustee has been appointed as
Subchapter V trustee.
Raymond William Battaglia, of Law Offices of Ray Battaglia, PLLC,
is the Debtor's counsel.
GWG HOLDINGS: Vernon Files Arbitration for of Emerson Investors
---------------------------------------------------------------
Vernon Litigation Group has filed arbitration on behalf of
investors sold bankrupt GWG bonds by Emerson Equity.
About 145 independent broker-dealers sold GWG high-yield bonds.
Yet, for nearly a decade, GWG Holdings had been funding cash flow
by issuing new debt. In January of 2022, the company announced that
it had paused L Bond sales as it considered its options. It also
stated that it was deferring requests for redemptions. Three months
later, GWG filed for Chapter 11 bankruptcy protection. The action
triggered concerns about investors recovering their principals.
Brokerage firms should have been proactive in warning potential
investors about the risks involved in purchasing GWG bonds, going
so far as to stop selling the bonds altogether.
The NASD Notice to Members 04-30 reminds firms of their obligations
when selling bonds and bond funds.
A firm's requirements include:
-- Knowing the terms, conditions, risks, and rewards of the
products they're selling;
-- Assessing each customer's needs and ensuring that a
particular bond or bond fund is appropriate;
-- Disclosing to investors the risks, costs, and rewards of
certain bonds or bond funds;
-- Providing adequate training and supervising to those who sell
bonds or bond funds; and
-- Ensuring that the firm's practices comply with NASD and SEC
rules.
Firms that failed to adhere to these guidelines when selling GWG
bonds caused Vernon's clients significant damages. Investors may
have been saved from investing in the bankrupt bonds had they
received accurate and adequate information upfront.
If you or someone you know was sold GWG bonds, discuss your options
for seeking remedy by contacting a member of the Vernon Litigation
Group team. Its lawyers are experienced in handling securities
arbitration and litigation claims in Southwest Florida and
throughout the United States.
About GWG Holdings Inc.
Headquartered in Dallas, Texas, GWG Holdings, Inc., conducts its
life insurance secondary market business through a wholly-owned
subsidiary, GWG Life, LLC and GWG Life's wholly-owned
subsidiaries.
GWG Holdings Inc. and affiliates sought Chapter 11 bankruptcy
protection (Bankr. S.D. Tex. Case No. 22-90032) on April 20, 2022.
In the petition filed by Murray Holland, as president and chief
executive officer, GWG Holdings listed $1.57 billion in total
assets against $3.64 billion in total liabilities.
The case is assigned to Honorable Bankruptcy Judge Marvin Isgur.
Charles Stephen Kelley, Esq., at Mayer Brown LLP, is the Debtor's
counsel.
National Founders LP, as DIP Lender, is represented by Sidley
Austin LLP.
Cravath, Swaine & Moore LLP serves as counsel to the limited
partners and parties financing the Final DIP Agent, Chapford SMA
Partnership, L.P. Winston & Strawn LLP serves as counsel to the
general partner and manager of Chapford. Lewis & Ellis Inc. serves
as consultant and Fifth Season Financial serves as financial
advisor to Chapford.
HIE HOLDINGS: In Chapter 11 With Water and Coffee Units
-------------------------------------------------------
HIE Holdings, Inc., along with subsidiaries Royal Hawaiian Water
Co., Ltd., and Hawaiian Isles Kona Coffee Company, Ltd., has sought
Chapter 11 protection.
The Debtors anticipate filing several "first-day" motions,
including without limitation, motion to prohibit utilities from
altering or discontinuing service on account of prepetition
invoices, employment of bankruptcy counsel, cash collateral motion,
and motion authorizing HIE to pay prepetition wages.
Royal Hawaiian Co., operates a water bottling facility in Halawa,
Oahu, Hawaii and distributes water to various stores across the
state of Hawaii (including WalMart, Times, CVS). However, Holdings
(and not the Water Company) is the tenant under the lease with
Bernice Pauahi Bishop Estate for the Halawa location.
Kona Coffee Company roasts, packages and distributes coffee out of
a warehouse located at 2864 Mokumoa Street in Mapunapuna, Oahu,
Hawaii.
Holdings provides sales, warehousing, general and administrative
support to the Water Company and Coffee Company, and Holdings
employs the entire workforce of approximately 100 employees for
Water and Coffee Company's operations.
The landlord for the 2864 Mokumoa Street location recently served a
writ and judgment for possession.
According to court filings, HIE Holdings estimates between 200 and
299 unsecured creditors. The petition states funds will be
available to unsecured creditors.
About HIE Holdings Inc.
HIE Holdings Inc. is the parent entity of Royal Hawaiian Water Co.,
Ltd., and Hawaiian Isles Kona Coffee Company, Ltd. Holdings in
turn owned by Michael Boulware, Julie Boulware and the Glenn
Boulware Trust.
Royal Hawaiian operates a water bottling facility in Halawa, Oahu,
while Kona Coffee Company roasts, packages and distributes coffee.
Royal Hawaiian Water Co., Ltd., d/b/a Hawaiian Isles Water Company,
filed a Chapter 11 petition (Bankr. D. Hawaii Case No. 22-00524) on
July 30, 2022.
HIE Holdings Inc. filed a Chapter 11 petition (Bankr. D. Hawaii
Case No. 22-00534) on August 3, 2022.
Hawaiian Isles Kona Coffee Company, Ltd., doing business as Hawaii
Coffee Roasters, filed a Chapter 11 petition (Case No. 22-00546) on
Aug. 5, 2022.
The Debtors have sought joint administration of their cases under
Case No. 22-00524.
In the petitions filed by Michael H. Boulware, as president, each
of the Debtors reported assets between $1 million and $10 million
and liabilities between $1 million and $10 million.
Chuck C. Choi, of CHOI & ITO, is the Debtors' counsel.
INSULATION COATINGS: Case Summary & 20 Top Unsecured Creditors
--------------------------------------------------------------
Debtor: Insulation Coatings & Consultants, LLC
9008 Kidder Road
Sherman, NY 14781
Business Description: Insulation Coatings provides acoustical and
thermal insulations that have been used in
commercial, industrial and institutional
projects nationwide. The Debtor serves
the New York, Pennsylvania, and Ohio
areas.
Chapter 11 Petition Date: August 9, 2022
Court: United States Bankruptcy Court
Western District of Pennsylvania
Case No.: 22-10340
Debtor's Counsel: Guy C. Fustine, Esq.
KNOX MCLAUGHLIN GORNALL & SENNETT, P.C.
120 West Tenth Street
Erie, PA 16501
Tel: (814) 459-2800
Fax: (814) 453-4530
Email: gfustine@kmgslaw.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Charles C. Sorce as member manager.
A full-text copy of the petition containing, among other items, a
list of the Debtor's 20 largest unsecured creditors is available
for free at PacerMonitor.com at:
https://www.pacermonitor.com/view/NJEEJPA/Insulation_Coatings__Consultants__pawbke-22-10340__0001.0.pdf?mcid=tGE4TAMA
INSYS THERAPEUTICS: Prosecutors Balk at Exec.'s Early Release
-------------------------------------------------------------
Mike Curley of Law360 reports that federal prosecutors are asking a
Massachusetts federal court not to grant a compassionate release to
a former Insys executive convicted of leading an opioid kickback
scheme, saying he spent his time at the company "making the bed he
now finds himself in" and has not shown compelling circumstances to
cut his incarceration short.
In an opposition brief filed Wednesday, August 3, 2022, the
government pushed back against Richard M. Simon's motion last week
seeking to have him spend the remainder of his 33-month sentence in
home confinement.
About Insys Therapeutics
Headquartered in Chandler, Ariz., Insys Therapeutics Inc. --
http://www.insysrx.com/-- is a specialty pharmaceutical company
that develops and commercializes innovative drugs and novel drug
delivery systems of therapeutic molecules that improve patients'
quality of life. Using proprietary spray technology and
capabilities to develop pharmaceutical cannabinoids, Insys is
developing a pipeline of products intended to address unmet medical
needs and the clinical shortcomings of existing commercial
products. Insys is committed to developing medications for
potentially treating anaphylaxis, epilepsy, Prader-Willi syndrome,
opioid addiction and overdose, and other disease areas with a
significant unmet need.
As of March 31, 2019, Insys had $172.6 million in total assets,
$336.3 million in total liabilities, and a total stockholders'
deficit of $163.7 million.
Insys Therapeutics and six affiliated companies filed petitions
seeking relief under Chapter 11 of the Bankruptcy Code (Bankr. D.
Del. Lead Case No. 19-11292) on June 10, 2019.
The Debtors' cases are assigned to Judge Kevin Gross.
The Debtors tapped Weil, Gotshal & Manges LLP and Richards, Layton
& Finger, P.A., as legal counsel; Lazard Freres & Co. LLC as
investment banker; FTI Consulting, Inc. as financial advisor; and
Epiq Corporate Restructuring, LLC as claims agent.
Andrew Vara, acting U.S. trustee for Region 3, on June 20, 2019,
appointed nine creditors to serve on an official committee of
unsecured creditors in the Chapter 11 cases. Akin Gump Strauss
Hauer & Feld LLP, and Bayard, P.A., serve as the Committee's
attorneys; and Province, Inc., is the financial advisor.
* * *
Insys sold its epinephrine 7mg and 8.5mg unit-dose nasal spray
products and naloxone 8mg unit-dose nasal spray products and
certain equipment and liabilities to Hikma Pharmaceuticals USA Inc.
for $17 million. It sold for $12.2 million to Chilion Group
Holdings US, Inc., its (i) CBD formulations across current
pre-clinical, clinical, third-party grants and investigator
initiated study activities (including any future activities or
indications), (ii) THC programs of Syndros oral dronabinol
solution, and (iii) Buprenorphine products. Insys sold to BTcP
Pharma, LLC for $52 million in royalty payments plus other amounts
all strengths, doses and formulations in the world (except for the
Republic of Korea, et al.). Insys sold to Pharmbio Korea, Inc., for
$1.2 million in cash specific intellectual property, records and
certain other assets related to strengths, doses and formulations
of the Subsys Product in the Republic of Korea, Japan, China,
Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines,
Singapore, Thailand, Timor-Leste, and Vietnam.
After selling substantially all of their assets, the Debtors filed
a Chapter 11 Plan and Disclosure Statement. Judge Kevin Gross on
Jan. 16, 2020, confirmed the Debtors' Plan of Liquidation.
INTERIOR COMMERCIAL: Returns to Chapter 11 Bankruptcy
-----------------------------------------------------
Interior Commercial Installation, Inc., filed for chapter 11
protection in the Northern District of California. The Debtor
filed as a small business debtor seeking relief under Subchapter V
of Chapter 11 of the Bankruptcy Code.
The Debtor filed motions to pay payroll to its 18 employees, and
use cash collateral to fund expenses.
The Debtor filed a prior Chapter 11 case. The prior case was
confirmed and a discharge was entered. The Debtor was current on
payments under the plan.
Struggling to meet operating expenses because project starts were
delayed and because customers were slow to pay for completed jobs,
Debtor entered into a Merchant Agreement with The LCF Group which
purports to be a sale of receivables. Debtor contends that this is
nothing other than a disguised loan with an interest rate of 27.00%
with daily sweeps of its account. The
daily payments were $4,900. The repayment obligations of this loan
precipitated the bankruptcy filing.
According to court filings, Interior Commercial estimates between 1
and 49 unsecured creditors. The petition states funds will be
available to unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Sept. 19, 2022, at 10:00 AM via Tele/Videoconference -
www.canb.uscourts.gov/calendars. Proofs of claim are due by Oct.
11, 2022.
About Interior Commercial Installation
Interior Commercial Installation Inc. is a licensed and bonded
freight shipping and trucking company running freight hauling
business.
Interior Commercial a prior Chapter 11 case on Dec. 7, 2018 (Bankr.
N.D. Cal. Case No. 18-42874). The prior case was confirmed by
order entered on March 4, 2020 and a discharge entered.
The Debtor filed a voluntary petition for relief under Subchapter V
of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Cal. Case No.
22-40745) on Aug. 3, 2022. In the petition filed by Jens Christian
Jensen, as president, the Debtor reported assets between $1 million
and $10 million against liabilities between $500,000 and $1
million.
Gina R. Klump has been appointed as Subchapter V trustee.
Lars Fuller, of The Fuller Law Firm, PC, is the Debtor's counsel.
JUST ENERGY: Enters Into $185M Stalking Horse Deal With Lenders
---------------------------------------------------------------
Just Energy Group Inc., a retail energy provider specializing in
electricity and natural gas commodities and bringing energy
efficient solutions and renewable energy options to customers, on
Aug. 5 disclosed that it has entered into a stalking horse
transaction agreement (the "Stalking Horse Transaction Agreement")
and a support agreement (the "SISP Support Agreement") (both
subject to Court (as defined below) approval and each as described
further below) in connection with a proposed sale and investment
solicitation process ("SISP") that is intended to facilitate its
exit from the company's ongoing insolvency proceedings as a going
concern. Upon execution of the SISP Support Agreement, Just Energy
and the other parties thereto terminated the previously announced
plan support agreement and backstop commitment letter that was
entered into in connection with the previously announced proposed
plan of compromise and arrangement (the "Plan").
Just Energy and certain of its affiliates (collectively, the "Just
Energy Entities") filed a motion in its proceedings under the
Companies' Creditors Arrangement Act (the "CCAA") before the
Ontario Superior Court of Justice (Commercial List) (the "Court")
on August 4, 2022 for an Order (the "SISP Order") that, among other
things: (i) authorizes the Company to conduct the SISP with the
assistance of BMO Nesbitt Burns Inc., as financial advisor, and FTI
Consulting Canada Inc., as Court-appointed monitor (the "Monitor"),
in accordance with the terms therein (the "SISP Procedures"), and
(ii) approves the execution by the applicable Just Energy Entities
of the Stalking Horse Transaction Agreement and the SISP Support
Agreement, each of which are described further below. The Just
Energy Entities also intend to seek recognition in the U.S. of the
SISP Order in their Chapter 15 cases.
Subject to the granting of the SISP Order at the motion scheduled
for August 17, 2022:
* If one or more qualified bids (other than the transaction
contemplated by the Stalking Horse Transaction Agreement) are
received by September 29, 2022, then Just Energy intends to proceed
with an auction to determine the successful bid(s), subject to the
terms of the SISP Procedures. The qualified bid criteria under the
terms of the SISP Procedures include, among other things, that
bids:
-- provide the necessary Cash Consideration Value (as defined in
the SISP Procedures) to be used together with the Just Energy
Entities' cash on hand for the payment of all secured claims and
all claims ranking in priority, the Break-Up Fee (as defined below)
and a bid increment of no less than $1,000,000, which Cash
Consideration Value is estimated to be approximately
USD$460,000,000, assuming a closing date of December 31, 2022;
-- do not contain any board or equity holder approval, financing
or due diligence conditions; and
-- are accompanied by a cash deposit equal to 10% of the Cash
Consideration Value.
* If the Stalking Horse Purchaser (as defined below) is
determined to be the successful bidder at the conclusion of the
SISP and the transaction contemplated in the Stalking Horse
Transaction Agreement (the "Stalking Horse Transaction") is
subsequently approved by the Court, the Stalking Horse Purchaser
will own all of the outstanding equity of Just Energy (U.S.) Corp.,
which will be the new parent company of all of the Just Energy
Entities, including the Company, and the Just Energy Entities will
continue their business and operations as a going concern. All
currently outstanding shares, options and other equity of Just
Energy will be cancelled or redeemed for no consideration and
without any vote of the existing shareholders.
Interested parties are invited to participate in the SISP in
accordance with the SISP Procedures. In order to participate in the
SISP and obtain access to a virtual data room, all interested
parties must comply with the terms and conditions set forth in the
SISP Procedures, a copy of which will be attached to the SISP Order
and available on the Monitor's website at
http://cfcanada.fticonsulting.com/justenergy.Parties interested in
participating in the SISP should contact the Monitor at
justenergy@fticonsulting.com.
A copy of the Stalking Horse Transaction Agreement and SISP Support
Agreement will be made available on the SEDAR website at
www.sedar.com, on the U.S. Securities and Exchange Commission's
website at www.sec.gov and on Just Energy's website at
www.investors.justenergy.com.
Further information regarding the CCAA proceedings is available at
the Monitor's website at
http://cfcanada.fticonsulting.com/justenergyand at the Omni Agent
Solutions case website at
https://cases.omniagentsolutions.com/?clientId=3600.
Information about the CCAA proceedings generally can also be
obtained by contacting the Monitor by phone at 416-649-8127 or
1-844-669-6340, or by email at justenergy@fticonsulting.com.
STALKING HORSE TRANSACTION AGREEMENT
Just Energy has entered into the Stalking Horse Transaction
Agreement with the lenders under the Company's debtor-in-possession
financing facility, one of their affiliates and the holder of
certain assigned secured claims (collectively, the "Stalking Horse
Purchaser"). Key terms of the Stalking Horse Transaction include:
* The purchase price payable pursuant to the Stalking Horse
Transaction is (i) cash in the amount of US$184,857,692.31, plus up
to an additional $10 million solely in the event that additional
amounts are required to make applicable payments pursuant to the
Stalking Horse Transaction Agreement; plus (ii) a credit bid of
approximately US$230 million plus accrued interest of secured
claims assigned to the Stalking Horse Purchaser; plus (iii) the
assumption of Assumed Liabilities (as defined below), including up
to CAD$10 million owing under the Company's first lien credit
facility (the "Credit Facility Remaining Debt") to remain
outstanding under an amended and restated credit agreement.
* Post-filing claims, the Credit Facility Remaining Debt, claims
by energy regulators, and certain other liabilities enumerated in
the Stalking Horse Transaction Agreement ("Assumed Liabilities")
will continue to be liabilities of the Just Energy Entities
following consummation of the Stalking Horse Transaction. Excluded
liabilities and excluded assets of the Just Energy Entities will be
discharged from the Just Energy Entities pursuant to an Approval
and Vesting Order to be sought subject to the Stalking Horse
Transaction being the successful bid in the SISP.
The consummation of the Stalking Horse Transaction is subject to
satisfaction or waiver of a number of conditions precedent set
forth in the Stalking Horse Transaction Agreement including, among
other things, receipt of all required regulatory approvals and the
Court granting an Approval and Vesting Order by October 15, 2022
and the recognition of such Approval and Vesting Order by the U.S.
Court under Chapter 15 by November 16, 2022. The outside date for
completion of the Stalking Horse Transaction is November 30, 2022,
subject to extension in certain circumstances described in the
Stalking Horse Transaction Agreement.
In the event the Stalking Horse Transaction Agreement is terminated
in accordance with applicable terms, payment of a Break-Up Fee as
described below is required.
Under the Stalking Horse Transaction, no amounts will be available
for distribution to the Just Energy Entities' general unsecured
creditors, including the Term Loan Lenders.
SISP SUPPORT AGREEMENT
In connection with the Stalking Horse Transaction Agreement, the
Just Energy Entities have entered into the SISP Support Agreement
with: (a) the Stalking Horse Purchaser, (b) the Company's credit
facility lenders, and (c) the Company's largest commodity supplier.
Pursuant to the SISP Support Agreement, among other things, the
Just Energy Entities have agreed to use commercially reasonable
efforts to complete the Stalking Horse Transaction (subject to
carrying out the SISP in accordance with the SISP Order), and the
other counterparties have agreed to take actions to support the
Stalking Horse Transaction, in each case on the terms and
conditions set forth in the SISP Support Agreement.
The SISP Support Agreement may be terminated in certain
circumstances, including by any of the Just Energy Entities in the
event that the board of directors or similar governing body of such
entity determines, upon the advice of outside legal counsel and
financial advisors, that proceeding with the Stalking Horse
Transaction would be inconsistent with the exercise of its
fiduciary duties or applicable law; provided that the Just Energy
Entities do not have this right to terminate the SISP Support
Agreement if no qualified bids are received under the SISP by the
applicable deadline or the Stalking Horse Transaction is declared
the successful bid in accordance with the SISP Procedures.
In the foregoing termination scenario or in the event of Court
approval of an alternative transaction, the Just Energy Entities
would be required to pay a termination fee to the Stalking Horse
Purchaser in the amount of US$14.66 million (the "Break-Up Fee") on
closing of an alternative transaction, subject to the granting of
the SISP Order.
FURTHER INFORMATION
The Company has been advised by OC II VS XIV LP ("OC II"), a
Delaware limited partnership, and certain other funds under common
management with OC II (collectively, the "Funds"), who own
approximately 29% of the issued and outstanding common shares of
the Company, that OC II has filed an amended early warning report
pursuant to Canadian securities laws to provide updated disclosure
relating to the Funds' participation in the Stalking Horse
Transaction, which is available at www.sedar.com under the
Company's issuer profile.
The above descriptions are summaries only and are subject to the
terms of the Stalking Horse Transaction Agreement and SISP Support
Agreement, copies of which are available on the Monitor's website
and will be made available on the SEDAR website at www.sedar.com,
on the U.S. Securities and Exchange Commission's website at
www.sec.gov and on Just Energy's website at
https://investors.justenergy.com/.
Just Energy's legal advisors in connection with the CCAA and
Chapter 15 proceedings and proposed SISP are Osler, Hoskin &
Harcourt LLP and Kirkland & Ellis LLP. The Company's financial
advisor is BMO Nesbit Burns Capital Markets.
About Just Energy
Just Energy Group Inc. (TSX:JE; NYSE:JE) --
https//www.justenergy.com/ -- is a retail energy provider
specializing in electricity and natural gas commodities and
bringing energy efficient solutions and renewable energy options to
customers. Currently operating in the United States and Canada,
Just Energy serves residential and commercial customers. Just
Energy is the parent company of Amigo Energy, Filter Group Inc.,
Hudson Energy, Interactive Energy Group, Tara Energy, and
terrapass.
On March 9, 2021, Just Energy Group Inc., Just Energy Corp.,
Ontario Energy Commodities Inc., Universal Energy Corporation, Just
Energy Finance Canada ULC, Hudson Energy Canada Corp., Just
Management Corp., Just Energy Finance Holding Inc., 11929747 Canada
Inc., 12175592 Canada Inc., JE Services Holdco I Inc., JE Services
Holdco II Inc., 8704104 Canada Inc., Just Energy Advanced Solutions
Corp., Just Energy (U.S.) Corp., Just Energy Illinois Corp, Just
Energy Indiana Corp., Just Energy Massachusetts Corp., Just Energy
New York Corp., Just Energy Texas I Corp., Just Energy, LLC, Just
Energy Pennsylvania Corp., Just Energy Michigan Corp., Just Energy
Solutions Inc., Hudson Energy Services LLC, Hudson Energy Corp.,
Interactive Energy Group LLC, Hudson Parent Holdings LLC, Drag
Marketing LLC, Just Energy Advanced Solutions LLC, Fulcrum Retail
Energy LLC, Fulcrum Retail Holdings LLC, Tara Energy, LLC, Just
Energy Marketing Corp., Just Energy Connecticut Corp., Just Energy
Limited, Just Solar Holdings Corp., and Just Energy (Finance)
Hungary ZRT filed for protection under the Companies' Creditors
Arrangement Act ("CCAA") before the Ontario Superior Court of
Justice (Commercial List).
Just Energy Group Inc. and its affiliates filed petitions under
Chapter 15 of the Bankruptcy Code in the United States (Bankr. S.D.
Tex. Lead Case No. 21-30823) on March 9, 2021, to seek recognition
of the Canadian proceedings.
FTI Consulting Canada Inc. has consented to act as monitor in the
CCAA proceeding. BMO Capital Markets has been engaged as financial
advisor, Osler, Hoskin & Harcourt LLP and Fasken Martineau DuMoulin
LLP are legal advisors in Canada, Kirkland & Ellis LLP and Jackson
Walker LLP are legal advisors in the United States.
JUST ENERGY: Intends to File Annual Filings on August 12
--------------------------------------------------------
Just Energy Group Inc., a retail energy provider specializing in
electricity and natural gas commodities and bringing energy
efficient solutions, carbon offsets and renewable energy options to
customers, disclosed that the Company is unable to file its annual
filings, including the annual audited financial statements and
management discussion and analysis for the year ended March 31,
2022 (the "Annual Filings"), within the prescribed time period
under applicable Canadian securities laws without unreasonable
effort or expense because the Company needs additional time to
complete its financial statements and related disclosures due to
the Company's ongoing proceedings under the Companies' Creditors
Arrangement Act (Canada) ("CCAA") and under Chapter 15 of the
United States Bankruptcy Court for the Southern District of Texas.
The Company has filed an application with the Ontario Securities
Commission, its principal regulator, for a management cease trade
order, in accordance with National Policy 12-203 - Management Cease
Trade Orders ("NP 12-203"). If approved, this application would
give the Company extra time of up to one month after July 29, 2022
to file the Annual Filings. There can be no certainty that a
management cease trade order will be granted. The applicable
regulatory authorities may instead determine to issue a full cease
trade order against the Company. The Company intends to file the
Annual Filings on or before August 12, 2022.
The Company has established a blackout on trading of the Company's
securities by directors and officers in connection with the Annual
Filings and intends to continue the blackout until such time as the
Annual Filings have been filed.
The Company confirms that it intends to satisfy the provisions of
the alternative information guidelines found in Section 9 and 10 of
NP 12-203 for so long as it is delayed in filing the Reporting
Documents.
As previously reported, FTI Consulting Canada Inc. (the "Monitor")
is overseeing the Company's CCAA proceedings as the court-appointed
Monitor. Further information regarding the CCAA proceedings is
available at the Monitor's website at
http://cfcanada.fticonsulting.com/justenergy.Information regarding
the CCAA proceedings can also be obtained by calling the Monitor's
hotline at 416-649-8127 or 1-844-669-6340 or by email at
justenergy@fticonsulting.com.
About Just Energy
Just Energy Group Inc. (TSX:JE; NYSE:JE) --
https//www.justenergy.com/ -- is a retail energy provider
specializing in electricity and natural gas commodities and
bringing energy efficient solutions and renewable energy options to
customers. Currently operating in the United States and Canada,
Just Energy serves residential and commercial customers. Just
Energy is the parent company of Amigo Energy, Filter Group Inc.,
Hudson Energy, Interactive Energy Group, Tara Energy, and
terrapass.
On March 9, 2021, Just Energy Group Inc., Just Energy Corp.,
Ontario Energy Commodities Inc., Universal Energy Corporation, Just
Energy Finance Canada ULC, Hudson Energy Canada Corp., Just
Management Corp., Just Energy Finance Holding Inc., 11929747 Canada
Inc., 12175592 Canada Inc., JE Services Holdco I Inc., JE Services
Holdco II Inc., 8704104 Canada Inc., Just Energy Advanced Solutions
Corp., Just Energy (U.S.) Corp., Just Energy Illinois Corp, Just
Energy Indiana Corp., Just Energy Massachusetts Corp., Just Energy
New York Corp., Just Energy Texas I Corp., Just Energy, LLC, Just
Energy Pennsylvania Corp., Just Energy Michigan Corp., Just Energy
Solutions Inc., Hudson Energy Services LLC, Hudson Energy Corp.,
Interactive Energy Group LLC, Hudson Parent Holdings LLC, Drag
Marketing LLC, Just Energy Advanced Solutions LLC, Fulcrum Retail
Energy LLC, Fulcrum Retail Holdings LLC, Tara Energy, LLC, Just
Energy Marketing Corp., Just Energy Connecticut Corp., Just Energy
Limited, Just Solar Holdings Corp., and Just Energy (Finance)
Hungary ZRT filed for protection under the Companies' Creditors
Arrangement Act ("CCAA") before the Ontario Superior Court of
Justice (Commercial List).
Just Energy Group Inc. and its affiliates filed petitions under
Chapter 15 of the Bankruptcy Code in the United States (Bankr. S.D.
Tex. Lead Case No. 21-30823) on March 9, 2021, to seek recognition
of the Canadian proceedings.
FTI Consulting Canada Inc. has consented to act as monitor in the
CCAA proceeding. BMO Capital Markets has been engaged as financial
advisor, Osler, Hoskin & Harcourt LLP and Fasken Martineau DuMoulin
LLP are legal advisors in Canada, Kirkland & Ellis LLP and Jackson
Walker LLP are legal advisors in the United States.
KINTARA THERAPEUTICS: Inks $20M Equity Purchase Deal With Lincoln
-----------------------------------------------------------------
Kintara Therapeutics, Inc. has entered into an equity purchase
agreement for up to $20 million with Lincoln Park Capital Fund,
LLC, a Chicago-based institutional investor.
Under the terms of and subject to satisfaction of the conditions
contained in the agreement, Kintara will have the right in its sole
discretion, but not the obligation, to sell to LPC up to $20
million worth of shares of its common stock from time to time over
the 36-month term of the agreement. Kintara controls the timing
and amount of any future sales of its shares of common stock and
LPC is obligated to make purchases in accordance with the terms of
the purchase agreement, subject to various limitations contained in
the agreement, including those under the Nasdaq listing rules. Any
common stock that is sold by Kintara to LPC under the agreement
will occur at a purchase price that is based on the market prices
prevailing at the time of each sale to LPC. There is no upper
limit to the price per share that LPC may pay for future stock
issuances under the purchase agreement, and LPC has agreed not to
cause or engage in any direct or indirect short selling or hedging
of Kintara's common stock. No warrants are being issued in this
transaction and the purchase agreement does not contain any rights
of first refusal, participation rights, penalties or liquidated
damages provisions in favor of any party. Kintara may terminate
the purchase agreement at any time, at its sole discretion, without
any cost or penalty.
The Company expects this commitment from LPC will provide financial
flexibility and is aligned with Kintara's long-term strategy for
value creation. Kintara intends to use any net proceeds from the
sale of its common stock to LPC for working capital and general
corporate purposes, including development expenses for VAL-083 and
REM-001.
"We are excited to enter into this transaction with Lincoln Park
Capital and believe that this agreement provides us an opportunity
to access capital in a very efficient manner," said Robert E.
Hoffman, president and chief executive officer of Kintara. "We
believe that the financial flexibility provided by this agreement
will further support our clinical development efforts with VAL-083
in glioblastoma and REM-001 in cutaneous metastatic breast
cancer."
About Kintara
Located in San Diego, California, Kintara Therapeutics, Inc.
(formerly DelMar Pharmaceuticals) is dedicated to the development
of novel cancer therapies for patients with unmet medical needs.
Kintara is developing two late-stage, Phase 3-ready therapeutics
for clear unmet medical needs with reduced risk development
programs. The two programs are VAL-083 for GBM and REM-001 for
CMBC.
Kintara reported a net loss of $38.30 million for the year ended
June 30, 2021, compared to a net loss of $9.13 million for the year
ended June 30, 2020. As of March 31, 2022, the Company had $12.80
million in total assets, $3.41 million in total liabilities, and
$9.39 million in total stockholders' equity.
San Francisco, CA-based Marcum LLP, the Company's auditor since
2019, issued a "going concern" qualification in its report dated
Sept. 28, 2021, citing that the Company has incurred significant
losses and needs to raise additional funds to meet its obligations
and sustain its operations. These conditions raise substantial
doubt about the Company's ability to continue as a going concern.
LAPEER AVIATION: LAI Creditors to Get Paid from Future Income
-------------------------------------------------------------
Lapeer Aviation, Inc., and with its related debtor entity CG
Acquisitions, L.L.C. submitted an Amended Plan of Reorganization
under Subchapter V dated August 8, 2022.
The Plan Proponent's financial projections show that the Debtors
will have projected disposable income of $154,207.00 for LAI.
This Plan proposes to pay Creditors of the Debtor LAI from the
Debtors' cash flow from operations and future income. The Plan also
provides for the structured dismissal of the case filed by CG.
The final Plan payment is expected to be paid on or about March 31,
2027.
Class I shall consist of the holders of Allowed Unsecured Claims
against LAI. Each Holder of Class I Claims shall receive a Pro Rata
distribution attributable to its Allowed General Unsecured Claim
based on quarterly payments each year by the Debtor from the
Debtor's Projected Disposable Income for a period of 5 years. The
first payment shall be the first day of the month at the beginning
of the second calendar quarter after the Effective Date. Such
payments shall continue to be made quarterly on the first day of
each calendar quarter thereafter for a period of 5 years from the
first payment. Each quarterly payment shall total $7,710.00, to be
divided Pro Rata.
Class II shall consist of the Cure Claim of Mayfield Township
against LAI, to the extent that one exists. Debtors intend to
assume all of the executory contracts with Mayfield Township.
Debtors do not believe that any Cure Claim exists. To the extent
that a Cure Claim filed by Mayfield Township is allowed, Debtors
will first offset the amounts owed to Debtors by Mayfield Township.
Debtors will then pay the entire remaining balance of the allowed
Cure Claim in 12 equal monthly installments commencing 60 days
after the Effective Date.
Class III consists of the Claim of CG against LAI. CG will not
receive any distribution.
Class IV consists of the Claims of Interest in LAI. Holders of
Allowed Interests shall retain their Allowed Interests in the
Debtor and Reorganized Debtor. There is no distribution on account
of Allowed Interests. For the avoidance of doubt, neither
Christopher Lewis nor Carl Jennings holds an Allowed Interest in
Debtor LAI. Accordingly, Christopher Lewis and Carl Jennings have
no interest in Debtor and shall have no interest in the Reorganized
Debtor.
Class V shall consist of all General Unsecured Creditors of CG
There shall be no distribution to Class V, as there are no funds
available for distribution.
Debtor LAI and Reorganized Debtor LAI shall be responsible for
satisfying the Allowed Claims in accordance with the terms and
provisions of this Plan.
The Reorganized Debtor LAI will retain control of and be
responsible for all of Debtor's activities pursuant to this Plan
after the Effective Date. Funding for the administration of the
bankruptcy estates and of this Plan and for the actions necessary
shall come from funds on hand.
A full-text copy of the Amended Plan of Reorganization dated August
8, 2022, is available at https://bit.ly/3JLetLF from
PacerMonitor.com at no charge.
Counsel for the Debtor:
John R. Tucker, Esq.
Winegarden, Haley, Lindholm, Tucker & Himelhoch, PLC
9460 S. Saginaw Road, Suite A
Grand Blanc, MI 48439
Telephone: (810) 579-3600
Email: jtucker@winegarden-law.com
About Lapeer
Aviation
Lapeer Aviation, Inc. filed its voluntary petition for relief under
Chapter 11 of the Bankruptcy Code (Bankr. E.D. Mich. Case No.
21-31500) on Nov. 5, 2021, listing under $1 million in both assets
and liabilities. Gene Kopczyk, president, signed the petition.
Judge Joel D. Applebaum oversees the case. Winegarden, Haley,
Lindholm, Tucker & Himelhoch, PLC, serves as the Debtor's legal
counsel.
LAW OFFICES OF BRIAN WITZER: Trustee Taps Levene as Legal Counsel
-----------------------------------------------------------------
Timothy Yoo, the Chapter 11 trustee for The Law Offices of Brian D.
Witzer, seeks approval from the U.S. Bankruptcy Court for the
Central District of California to hire Levene, Neale, Bender, Yoo &
Golubchik, LLP as his bankruptcy counsel.
The firm's services include:
a. advising the trustee regarding the requirements of the
bankruptcy court, the Bankruptcy Code, the Bankruptcy Rules and the
Office of the U.S. Trustee;
b. advising the trustee regarding the rights and remedies of
the bankruptcy estate and the rights, claims and interests of its
creditors;
c. advising the trustee regarding the resolution of claims by
or against the estate;
d. representing the trustee in any proceeding or hearing in
the bankruptcy court involving the estate unless the trustee is
represented in such proceeding or hearing by special counsel;
e. conducting examinations of witnesses, claimants or adverse
parties and representing the trustee in any adversary proceeding
except to the extent that any such adversary proceeding is in an
area outside of Levene's expertise;
f. assisting the trustee in the preparation of legal papers;
g. assisting the trustee in evaluating executory contracts and
unexpired leases and, where appropriate, advising the trustee
whether to assume or reject such executory contracts and leases;
h. assisting the trustee in the negotiation, formulation,
preparation and confirmation of a plan of reorganization and the
preparation and approval of a disclosure statement; and
i. performing other necessary legal services for the trustee.
The hourly rates of the firm's attorneys and staff who will work
primarily in this engagement are as follows:
Ron Bender $650
Monica Y. Kim $635
Juliet Y. Oh $620
Paraprofessionals $250
In addition, the firm will seek reimbursement for expenses
incurred.
The retainer fee is $150,000.
Monica Kim, Esq., a partner at Levene, disclosed in a court filing
that her firm is a "disinterested person" as that term is defined
in Section 101(14) of the Bankruptcy Code.
The firm can be reached through:
Monica Y. Kim, Esq.
Levene, Neale, Bender, Yoo & Brill LLP
10250 Constellation Boulevard, Suite 1700
Los Angeles, CA 90067
Telephone: (310) 229-1234
Facsimile: (310) 229-1244
Email: myk@lnbyb.com
About Law Offices of Brian D. Witzer
The Law Offices of Brian D. Witzer -- https://witzerlaw.com -- is a
law firm specializing in serious personal injury, pharmaceutical
litigation, traumatic brain injury, premises liability,
construction liability, product liability, sexual assaults, and bad
faith insurance.
The Law Offices of Brian D. Witzer sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. C.D. Calif. Case No.
21-12517) on March 29, 2021. In the petition signed by Brian D.
Witzer, chief executive officer and owner, the Debtor disclosed up
to $500,000 in assets and up to $50 million in liabilities.
Judge Neil W. Bason oversees the case.
The Debtor tapped the Law Offices of Michael Jay Berger as legal
counsel, Jennifer M. Liu, CPA as accountant, and Richard Laski of
Wilshire Partners as chief restructuring officer.
Timothy J. Yoo, the Chapter 11 trustee appointed in the Debtor's
case, is represented by Levene, Neale, Bender, Yoo & Golubchik LLP.
LECLAIRRYAN PLLC: Trustee Wants More Attorneys for $21M Deal Fight
------------------------------------------------------------------
Andrew Strickler of Law360 reports that the Chapter 7 trustee for
defunct LeClairRyan PLLC is seeking more BigLaw firepower for an
unusual dispute with the Office of the U.S. Trustee, which has
pledged to fight a $21 million settlement with UnitedLex and a
court order keeping many of its details under wraps.
In a set of filings this week, trustee Lynn Tavenner asked a
federal bankruptcy judge in Virginia to approve her hire of a Cozen
O'Connor team led by Chicago partners Brian Shaw and Peter J.
Roberts. Tavenner told the court that more special counsel were
needed amid challenges from acting regional U. S. Trustee John P.
Fitzgerald.
About LeClairRyan PLLC
Founded in 1988, LeClairRyan PLLC is a national law firm with 385
attorneys, including 160 shareholders, at its peak. The firm
represented thousands of clients, including individuals and local,
regional, and global businesses.
Following massive defections by its attorneys LeClairRyan, members
of the firm in July 2019 voted to effect a wind-down of the
Debtor's operations.
LeClairRyan PLLC sought Chapter 11 protection (Bankr. E.D. Va. Case
No. 19-bk-34574) on Sept. 3, 2019, to effect the wind-down of its
affairs.
In its Chapter 11 petition, the firm listed a range of 200-999
creditors owed between $10 million and $50 million. The firm claims
assets of $10 million to $50 million.
The Hon. Kevin R Huennekens is the case judge.
Richmond attorneys Tyler Brown and Jason Harbour of Hunton Andrews
Kurth represented LeClairRyan in the case. Protiviti was the
Debtor's financial adviser for the liquidation.
The bankruptcy case was converted to a Chapter 7 liquidation on
Oct. 24, 20219. Lynn L. Tavenner was named a Chapter 7 trustee, and
then Benjamin C. Ackerly, a successor trustee.
The Chapter 7 trustee Ackerly's counsel:
Tyler P. Brown
Hunton Andrews Kurth LLP
Tel: 804-788-8200
E-mail: tpbrown@huntonak.com
LOGOS INC: Asset Sale Proceeds to Fund Plan Payments
----------------------------------------------------
Logos, Inc., filed with the U.S. Bankruptcy Court for the District
of Maryland a Subchapter V Plan of Liquidation dated August 8,
2022.
The Debtor is a Maryland corporation founded in 2008 with its
headquarters located in Baltimore County with its principal place
of business operating in Harford County. Debtor purchased and owns
a Ground Rent Lease in certain real property and improvements
located at 510 Marketplace Drive, Bel Air, Maryland 21014
(collectively, the "Real Property").
Debtor operates a restaurant known as "510 Johnny's" at the Real
Property. The decrease in the Debtor's sales during the COVID
period, hurt the Debtor's sales and prevented the Debtor from
paying such critical creditors such as the Debtor's Maryland sales
taxes and its landlord's leasing agent, Hill Management Services,
Inc.
While the Debtor believed it could operate its restaurant for a few
months, it determined that with the slower summer months, it would
be better to close the Debtor's business and sell it right away by
auctioning its assets.
The Debtor has hired one of Maryland's preeminent commercial
auction firms, Alex Cooper Auctioneers, which has had success in
this Bankruptcy Court in selling business and restaurants similar
to the Debtor. The Debtor has determined that a sale of assets
pursuant to 11 U.S.C. § 363 is necessary, appropriate and in the
best interests of creditors and the economic administration of
justice in this case.
The Debtor's assets consist primarily of (i) its systems and
processes to manage its restaurant business, work in progress, and
furniture, fixtures, and equipment used in its business operations,
(ii) its Ground Rent Lease in the Real Property, (iii) all other
tangible and intangible assets associated with the Debtor's
business operations, and (iv) any claims against third parties that
the Debtor may hold for avoidable transfers made by the Debtor to
or for the benefit of such transferees during the applicable period
preceding the filing of the Bankruptcy Case, all of which
collectively shall be referred to herein as the "Assets".
The Debtor, with the assistance of its advisors, has determined in
its business judgment that the sale of substantially all of its
Assets, including the assumption and assignment of certain
executory contracts and unexpired leases, such as the land lease,
related thereto, to the highest and best bidder at the auction sale
(the "Sale") will maximize the benefit to the Debtor's estate,
creditors, and other parties in interest.
The Real Property is encumbered by a Leasehold Deed of Trust,
Security Agreement and Assignment of Contracts, Leases and Rents
(the "Sandy Spring Leasehold Deed of Trust") filed on December 31,
2008 for the benefit of the Debtor's security creditor, Sandy
Spring Bank in the Harford County Land Records Office at Liber
08076, Folio 351. The Debtor currently projects that the proposed
auction with Alex Cooper Auctioneers will pay Sandy Spring Bank's
claim in full.
Hill Management acts as the leasing agent for the Debtor's
Landlord, C&E Realty Company under the terms and conditions of the
Ground Lease dated March 1, 2005. If there remains an amount due to
Hill Management on the Ground Lease, that amount due will attach to
the proceeds from the sale of the Assets and be distributed to Hill
Management in a manner which allows for the transfer of the Ground
Lease.
After payment of the claims, sums received by the Trustee, unless
distributed by the Debtor, shall be paid, on a pro-rata basis, to
allowed general unsecured claims.
During the term of this Plan, the Debtor shall sale all of its
saleable assets necessary for the performance of this Plan and
distribute the net proceeds from the sale of those assets to the
Debtor's creditors, pursuant to the priorities of the Bankruptcy
Code.
The term of this Plan begins on the date of confirmation of this
Plan and end after the approval of the Bankruptcy Court of the
Debtor's proposed distribution of the monies received by the Debtor
from the sale of its assets.
The Debtor hope to distribute all monies received from the auction
sale, after approval by the Bankruptcy Court, within 6 months after
its receipt of monies from the sale of its assets.
A full-text copy of the Disclosure Statement dated August 8, 2022,
is available at https://bit.ly/3Qj3gok from PacerMonitor.com at no
charge.
Attorneys for the Debtor:
Robert B. Scarlett, Esq.
Scarlett & Croll, PA
201 N. Charles St., Ste. 600
Baltimore, MD 21201
Telephone: (410) 468-3100
Facsimile: (410) 332-4026
Email: rscarlett@scarlettcroll.com
About Logos Inc.
Logos Incorporated -- https://logos-development.com -- doing
business as 510 Johnnys, is a New York City-based
multi-disciplinary real estate development and investment advisory
company.
Logos filed a voluntary petition for relief under Chapter 11 of the
Bankruptcy Code (Bankr. D. Md. Case No. 22-12491) on May 9, 2022.
In the petition filed by Mohammed Jadoo, vice-president, the Debtor
listed up to $50,000 in assets and up to $1 million in
liabilities.
Judge David E. Rice oversees the case.
Robert B. Scarlett, Esq., at Scarlett & Croll, PA and Weinblatt &
Associates, PA serve as the Debtor's legal counsel and accountant,
respectively.
M6 ETX: S&P Assigns 'B+' Issuer Credit Rating, Outlook Stable
-------------------------------------------------------------
S&P Global Ratings assigned its 'B+' issuer credit rating to M6 ETX
Holdings II MidCo LLC, and its 'B+' issue-level rating and '3'
recovery rating to its proposed $600 million term loan B due 2029.
The '3' recovery rating indicates its expectation for meaningful
(50%-70%; rounded estimate: 65%) recovery in the event of a payment
default.
The stable outlook reflects S&P's view that the company's S&P
Global Ratings-adjusted debt to EBITDA will be 4.7x in 2022,
declining to 4x in 2023, as it increases its EBITDA by the
mid-teen-digit percent area.
M6 ETX, an affiliate company of M6 Midstream LLC (Momentum), signed
a definitive agreement to acquire certain operating subsidiaries of
Midcoast Energy LLC. M6 ETX will finance its $1.25 billion
acquisition with new equity and a seven-year term loan B.
S&P said, "Our 'B+' issuer credit rating reflects M6 ETX's
long-term contract portfolio with a large share of ship-or-pay
contracts and its investment grade customers, as well as its
developed asset base that requires minimal capital expenditure
(capex). However, the company has relatively small scale and scope
of operations, and it is exposed to volumetric and commodity price
risks. We expect leverage at 4.7x in 2022, declining to 4x in
2023."
M6 ETX operates a substantial asset base, but its business is
relatively small based on its EBITDA. With most of its gathering,
processing, and transportation assets concentrated in the East
Texas basin, M6 ETX is the largest gathering and processing company
in the region. The company benefits from its downstream
connectivity to the primary demand markets on the Gulf Coast, which
features strong liquefied natural gas (LNG) demand and export
facilities. S&P said, "However, we expect M6 ETX's adjusted EBITDA
to be in the $130 million–$170 million range during the next
three years, which we view as low compared with other midstream
players. In addition, the company has limited geographic diversity
because its assets and operations are concentrated in the
Haynesville basin."
M6 ETX benefits from its largely investment grade customer
portfolio and anchor contracts. The company receives about 40% of
its proceeds from its contract with Exxon Mobil, with the remaining
term of nine years, while its contract with Osaka Gas USA generates
about 10% of total proceeds. Last year, the company signed a
10-year ship-or-pay contract with Golden Pass LNG that starts in
2026 and will add about 1 billion cubic feet per day of throughput
volumes. While investment grade customers account for about 60% of
the company's gross margin, the rest of it is attributable to
unrated (26%) or lower credit quality producers (16%). In addition,
M6 ETX's concentration with its major customers leads S&P to view
its credit quality as dependent on their production activity.
M6 ETX's exposure to volumetric risk and commodity prices could
result in cash flow volatility. Ship-or-pay and related contracts
account for 45% of the company's gross margin while acreage
dedication and other non-ship-or-pay commitments represent the
majority of the contract portfolio. In addition, its fee-based
contracts account for 75%-80% of its gross margin while the
remainder is commodity based. While S&P anticipates that commodity
exposure will decline, these factors may negatively affect the
company if commodity prices weaken.
The developed asset base supports M6 ETX's credit metrics. S&P
estimates that the company's asset utilization rate is approaching
80%, supported by the current commodity upcycle, low break-even
natural gas production prices, and other fundamentals in the
Haynesville basin. Its gathering and processing system is fully
developed and requires a relatively low and predictable amount of
capex at about $55 million per year that M6 ETX can cover with its
cash flow from operations. As such, S&P anticipates that the
company can use its free cash flow to reduce its leverage below 4x
in the next two to three years or expand its asset base through
acquisitions.
S&P said, "The stable outlook reflects our view that M6 EXT will
increase its throughput volumes during the next three years
supported by the favorable commodity pricing environment, growing
production activity in the Haynesville basin, and higher demand for
LNG. We project adjusted debt to EBITDA of 4.7x this year,
declining to 4x in 2023.
"We could take a negative rating action if leverage exceeded 5x.
This could happen if throughput volumes generated by acreage
dedication contracts were lower than we expect.
"Although unlikely in the near term, we could take a positive
rating action if the company materially increased its size and
scale of operations while reducing its leverage to below 4x on a
sustained basis."
ESG credit indicators: E3, S2, G2
S&P said, "Environmental factors are a moderately negative
consideration in our credit rating analysis of M6 ETX. The
company's asset base exposes it to climate transition risks that
could affect long-term gas volumes (although unlikely before 2030,
in our view). A remote risk relates to environmental liabilities
stemming from natural gas leakage in its system, as well as carbon
dioxide emission when its compression equipment is operated."
MICROSTRATEGY INC: Incurs $1.1 Billion Net Loss in Second Quarter
-----------------------------------------------------------------
Microstrategy Incorporated filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing a net loss
of $1.06 billion on $122.07 million of total revenues for the three
months ended June 30, 2022, compared to a net loss of $299.35
million on $125.35 million of total revenues for the three months
ended June 30, 2021.
For the six months ended June 30, 2022, the Company reported a net
loss of $1.19 billion on $241.35 million of total revenues compared
to a net loss of $409.37 million on $248.25 million of total
revenues for the same period during the prior year.
As of June 30, 2022, the Company had $2.57 billion in total assets,
$2.76 billion in total liabilities, and a total stockholders'
deficit of $187.07 million.
MicroStrategy stated, "We believe that existing cash and cash
equivalents held by us and cash and cash equivalents anticipated to
be generated by us are sufficient to meet working capital
requirements, anticipated capital expenditures, and contractual
obligations for at least the next 12 months. Beyond the next 12
months, our long-term cash requirements are primarily for
obligations related to our long-term debt. We have principal due
upon maturity of our long-term debt instruments in the aggregate of
$2.413 billion in addition to $2.4 million in coupon interest due
each semi-annual period for the 2025 Convertible Notes, $15.3
million in coupon interest due each semi-annual period for the 2028
Secured Notes, an estimated $0.8 million due monthly in variable
coupon interest for the 2025 Secured Term Loan (based on the
interest rate in effect at June 30, 2022), and $0.1 million due
monthly in principal and interest related to our other long-term
secured debt. We also have long-term cash requirements for
obligations related to our operating leases, the Transition Tax,
and our various purchase agreements. If cash and cash equivalents
generated by future operating activities are not sufficient to
enable us to satisfy these obligations, we may seek to generate
cash and cash equivalents from other sources. The sources could
include the sale of bitcoins, additional borrowings collateralized
by our bitcoins, as well as the issuance and sale of shares of our
class A common stock. Furthermore, if certain conditions are met,
we may have the right to elect to settle the Convertible Notes upon
a conversion of such Convertible Notes in shares of our class A
common stock, or a combination of cash and shares of class A common
stock, which may enable us to reduce the amount of our cash
obligations under the Convertible Notes."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1050446/000156459022027479/mstr-10q_20220630.htm
About MicroStrategy
Microstrategy Incorporated is an enterprise analytics software and
services company. Since its founding in 1989, MicroStrategy has
been focused on empowering organizations to leverage the immense
value of their data. MicroStrategy pursues two corporate
strategies in the operation of its business. One strategy is to
acquire and hold bitcoin and the other strategy is to grow its
enterprise analytics software business.
MicroStrategy reported a net loss of $535.48 million for the year
ended Dec. 31, 2021, and a net loss of $7.52 million for the year
ended Dec. 31, 2020. For the nine months ended Sept. 30, 2021, the
Company reported a net loss of $445.50 million. As of March 31,
2022, the Company had $3.64 billion in total assets, $2.78 billion
in total liabilities, and $863 million in total stockholders'
equity.
* * *
As reported by the TCR on June 15, 2021, S&P Global Ratings
assigned its 'CCC+' issuer credit rating to Tysons Corner,
Va.-based MicroStrategy Inc. S&P said, "The stable outlook reflects
our expectation that MicroStrategy's operating results will remain
consistent over the next 12 given its good recurring revenue base
and the low interest expense on its convertible debt, which will
allow it to maintain good EBITDA interest coverage and generate
positive free operating cash flow. We expect these factors to
enable the company to sustain its capital structure over the
subsequent 12 months."
MYOMO INC: Incurs $2.9 Million Net Loss in Second Quarter
---------------------------------------------------------
Myomo, Inc. filed with the Securities and Exchange Commission its
Quarterly Report on Form 10-Q disclosing a net loss of $2.91
million on $3.68 million of revenue for the three months ended June
30, 2022, compared to a net loss of $2.62 million on $3.10 million
of revenue for the three months ended June 30, 2021.
For the six months ended June 30, 2022, the Company reported a net
loss of $5.72 million on $7.55 million of revenue compared to a net
loss of $5.58 million on $5.44 million of revenue for the same
period during the prior year.
As of June 30, 2022, the Company had $14.56 million in total
assets, $4.21 million in total liabilities, and $10.35 million in
total stockholders' equity.
Management Commentary
"Patient pipeline growth was exceptional as we reduced advertising
cost per new pipeline addition by approximately 50% over the last
six months," stated Paul R. Gudonis, Myomo's chairman and chief
executive officer. "Our quarter-end patient pipeline stood at a
record 1,049 candidates advancing through the insurance
authorization process, which bodes well for future revenue. We're
pleased with our financial results as the organization is tracking
well against all major performance metrics."
"Progress with our joint venture in China has been impacted by
restrictions imposed by the Chinese government in response to the
ongoing COVID-19 outbreak," said Gudonis. "As a result, the
balance of the license fee remains unpaid.
"Given the unpredictable nature of the pandemic, we cannot forecast
when the final payment will be received and when we will begin
providing any technology and know-how to support the start-up of
the JV Company's operations."
Cash and cash equivalents as of June 30, 2022 were $10.2 million.
Cash used in operating activities was $2.6 million for the second
quarter of 2022. The Company entered into an equity line of credit
with Keystone Capital on Aug. 2, 2022. The Company believes that
its existing cash plus committed capital under the ELOC is
sufficient to fund operations for at least the next 12 months.
Business Outlook
"Owing to our significant backlog, we are anticipating sequential
growth in the third quarter and beyond," said Gudonis. "While we
are expecting lower year over year revenue in the third quarter, we
remain confident that the accelerating pipeline is a better
indicator of future revenue. We expect that the strong pipeline
adds in the first half of this year will support continued growth
over the next 12 months, while marketing and operational
efficiencies are expected to improve our operating leverage in the
coming quarters."
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1369290/000095017022014267/myo-20220630.htm
About Myomo
Headquartered in Cambridge, Massachusetts, Myomo, Inc. --
http://www.myomo.com-- is a wearable medical robotics company that
offers expanded mobility for those suffering from
neurologicaldisorders and upper limb paralysis. Myomo develops and
markets the MyoPro product line. MyoPro is a powered upper limb
orthosis designed to support the arm and restore function to the
weakened or paralyzed arms of patients suffering from CVA stroke,
brachial plexus injury, traumatic brain or spinal cord injury, ALS
or other neuromuscular disease or injury.
Myomo reported a net loss of $10.37 million for the year ended Dec.
31, 2021, a net loss of $11.56 million for the year ended Dec. 31,
2020, a net loss of $10.71 million for the year ended Dec. 31,
2019, and a net loss of $10.32 million for the year ended Dec. 31,
2018. As of March 31, 2022, the Company had $17.98 million in
total assets, $5.11 million in total liabilities, and $12.87
million in total stockholders' equity.
NEUMEDICINES INC: Taps Sheppard Mullin Richter as Special Counsel
-----------------------------------------------------------------
Neumedicines, Inc. received approval from the U.S. Bankruptcy Court
for the Central District of California to employ Sheppard Mullin
Richter & Hampton, LLP as its special counsel.
The Debtor requires legal assistance in connection with the claims
of NantKwest, Inc. and Brink Biologics, Inc., which emanate from
disputed allegations that the Debtor misused the NK-92 cell line
they developed after the Debtor purchased it from the American Type
Culture Collection.
The firm will be paid at hourly rates ranging from $960 to $1,000.
Jesse Salen, Esq., a partner at Sheppard, disclosed in a court
filing that the firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Jesse Salen, Esq.
Sheppard Mullin Richter & Hampton LLP
1901 Avenue of the Stars, Suite 1600
Los Angeles, CA 90067-6055
Tel: (310) 228-3700
Fax: (310) 228-3701
Email: jsalen@sheppardmullin.com
About Neumedicines Inc.
Neumedicines, Inc. -- https://www.neumedicines.com/ -- is a
clinical-stage biopharmaceutical company in Arcadia, Calif., which
is engaged in the research and development of HemaMax, recombinant
human interleukin 12 (rHuIL-12), for the treatment of cancer in
combination with standard of care (SOC, radiotherapy, chemotherapy,
or immunotherapy) and Hematopoietic Syndrome of Acute Radiation
Syndrome (HSARS) as a monotherapy.
Neumedicines filed a Chapter 11 petition (Bankr. C.D. Calif. Case
No. 20-16475) on July 17, 2020. In the petition signed by Timothy
Gallaher, president, the Debtor disclosed total assets of up to
$500,000 and total liabilities of up to $10 million.
Judge Ernest M. Robles presides over the case.
The Debtor tapped Weintraub & Seth, APC as bankruptcy counsel;
Sheppard, Mullin, Richter & Hampton, LLP as special counsel; and
Menchaca & Company, LLP as financial advisor.
NFP CORP: S&P Rates New $300MM Senior Secured Notes 'B'
-------------------------------------------------------
S&P Global Ratings assigned its 'B' debt rating to NFP Corp.'s
proposed $300 million senior secured notes due August 2030. S&P
also assigned a '3' recovery rating, indicating its expectation of
meaningful recovery (65%) in the event of payment default.
S&P said, "The ratings on NFP Holdings LLC, including our 'B'
long-term issuer credit rating and 'B' first-lien credit facility
debt ratings, are unaffected by the new senior secured notes
issuance.
"The new financing will have terms similar to the existing $550
million senior secured notes due 2028, with the proceeds used to
fund acquisitions through the first half of 2023. Pro forma
adjusted financial leverage (inclusive of this deal) for the
last-12-month period ended March 31, 2022, is 10.3x (9.0x excluding
preferred equity treated as debt), with cash coverage of 2.1x
according to our calculations.
"We forecast NFP's adjusted pro forma financial leverage will
remain elevated at 8.5x-9.0x excluding preferred shares through
2022. Through 2023, we anticipate a moderate drop in leverage to
about 8.0x (excluding preferred), driven by NFP's sustained pace of
top-line growth and margin stability in connection with funding
deployment. At the same time, we expect adjusted pro forma EBITDA
cash interest coverage to remain above 2.0x."
OAXACA AMSTERDAM: Mexican Restaurant Files Subchapter V Case
------------------------------------------------------------
Oaxaca Amsterdam Avenue LLC filed for chapter 11 protection in the
Southern District of New York. The Debtor filed as a small
business debtor seeking relief under Subchapter V of Chapter 11 of
the Bankruptcy Code.
The Debtor owns the Mexican restaurant Oaxaca Taqueria at 424
Amsterdam Ave., New York, NY.
Several Oaxaca branches could also be headed for Chapter 11
bankruptcy. The Debtor attached to its petition a list of other
actual or potential Chapter 11 affiliated debtors:
* Oaxaca Bedford Avenue LLC
* Oaxaca Halsey Street LLC
* Oaxaca Hoyt Street LLC
* Oaxaca 4th Avenue LLC
* Oaxaca 44th Street LLC
* Oaxaca 1198 1st Avenue LLC
* Oaxaca 33rd Street LLC
* Oaxaca Grand Street LLC
* Grey Brown Inc.
According to court filings, Oaxaca Amsterdam Avenue LLC estimates
between 1 and 49 creditors. The petition states that funds will be
available to unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Sept. 6, 2022 at 11:00 AM at Office of UST (TELECONFERENCE ONLY) -
CHAPTER 11s.
About Oaxaca Amsterdam Avenue
Oaxaca Amsterdam Avenue LLC owns the Mexican restaurant Oaxaca
Taqueria at 424 Amsterdam Ave., New York, NY.
Oaxaca Amsterdam Avenue LLC filed a voluntary petition for relief
under Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr.
S.D.N.Y. Case No. 22-11062) on Aug. 3, 2022. In the petition filed
by Vishal Dhar, as secretary and treasurer, the Debtor reported
assets between $50,000 and $100,000 against its liabilities between
$1 million and $10 million.
Ronald J. Friedman, Esq., has been appointed as Subchapter V
trustee.
James J. DeCristofaro, Esq. is the Debtor's counsel.
OSG GROUP: Paul Hastings, CS Represent First Lien Group
-------------------------------------------------------
In the Chapter 11 cases of OSG Group Holdings, Inc., et al., the
law firms of Paul Hastings LLP and Cole Schotz P.C. submitted a
verified statement under Rule 2019 of the Federal Rules of
Bankruptcy Procedure, to disclose that they are representing the ad
hoc group of consenting first lien lenders.
As of Aug. 8, 2022, each member of the First Lien Group and their
disclosable economic interests are:
Apex Credit Partners LLC
520 Madison Ave, 16th Floor
New York, NY 10022
* First Lien Term Loans: $7,824,496.93
Ares Management LLC
2000 Avenue of the Stars, 12th Floor
Los Angeles, CA 90067
* First Lien Term Loans: $17,507,303.92
Audax Private Debt
101 Huntington Ave
Boston, MA 02199
* First Lien Term Loans: $20,985,248.92
Barings LLC
111 S Wacker Drive, Suite 3100
Chicago, IL 60606
* First Lien Term Loans: $15,406,604.09
Bayside Capital, Inc.
1450 Brickell Avenue, 31st Floor
Miami, FL 33131
* First Lien Term Loans: $77,689.717.27
Blackstone Liquid Credit Strategies LLC
345 Park Ave, 31st Floor
New York, NY 10154
* First Lien Term Loans: $17,311,650.96
Bridgepoint Credit I A (L) S.a r.l.
6B, Rue du Fort Niedergrünewald
L-2226 Luxembourg
* First Lien Term Loans: EUR4,531,816.00
Bridgepoint Credit I A S.a r.l.
6B, Rue du Fort Niedergrünewald
L-2226 Luxembourg
* First Lien Term Loans: EUR330,684.00
Bridgepoint Credit II (L) S.a r.l.
6B, Rue du Fort Niedergrünewald
L-2226 Luxembourg
* First Lien Term Loans: EUR20,724,642.84
Bridgepoint Credit S S.a r.l.
6B, Rue du Fort Niedergrünewald
L-2226 Luxembourg
* First Lien Term Loans: EUR12,885,625.00
Bridgepoint Credit II S.a r.l.
6B, Rue du Fort Niedergrünewald
L-2226 Luxembourg
* First Lien Term Loans: EUR1,642,857.16
Capital One Financial Corporation
299 Park Avenue, 23rd Floor
New York, NY 10171
* First Lien Term Loans: $23,538,599.89
* First Lien Revolving Loans: $5,000,000.00
Churchill Middle Market CLO IV, Ltd.
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $6,486,184.36
Churchill MMSLFK GT 1
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $1,383,719.37
Churchill Middle Market CLO III, LLC
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $5,794,324.76
CMIC SPV I LLC
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $7,956,386.14
TIAA Churchill Middle Market CLO I, Ltd.
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $6,463,170.23
First Eagle Alternative Credit, LLC
227 West Monroe Street, Suite 3800
Chicago, IL 60606
* First Lien Term Loans: $31,496,470.19
Goldman Sachs Asset Management
200 West Street
New York, NY 10282
* First Lien Term Loans: $7,683,250.12
Medalist Partners Corporate Finance LLC
8000 Avalon Blvd., Suite 460
Alpharetta, GA 30009
* First Lien Term Loans: $2,561,083.32
MJX Asset Management
12 East 49th Street, 38th Floor
New York, NY 10017
* First Lien Term Loans: $6,554,129.54
Monroe Capital LLC
311 South Wacker Drive, 64th Floor
Chicago, IL, 60606
* First Lien Term Loans: $23,876,781.38
Nassau Corporate Credit LLC
17 Old Kings Highway South
Darien, CT 06820
* First Lien Term Loans: $8,855,390.91
NXT Capital CLO 2020-1, LLC
191 N Wacker Dr. 30th Floor
Chicago, IL, 60606
* First Lien Term Loans: $10,244,333.42
PennantPark Investment Advisers, LLC
1691 Michigan Avenue, Suite 500
Miami Beach, Florida 33139
* First Lien Term Loans: $28,591,163.58
Redding Ridge Asset Management LLC
126 E. 56th St., 22nd Fl.
New York, NY 10022
* First Lien Term Loans: $14,408,468.78
Teachers Insurance & Annuity Association of America
430 Park Avenue, 14th Floor
New York, NY 10022
* First Lien Term Loans: $12,972,368.76
Telos Asset Management LLC
One Rockefeller Plaza, 32nd Floor
New York, NY 10020
* First Lien Term Loans: $10,828,146.65
Counsel represents only the First Lien Group and does not represent
or purport to represent any persons or entities other than the
First Lien Group in connection with the Chapter 11 Cases. In
addition, as of the date of this Verified Statement, the First Lien
Group, both collectively and through its individual members, does
not represent or purport to represent any other persons or entities
in connection with the Chapter 11 Cases.
Counsel to the First Lien Group can be reached at:
COLE SCHOTZ P.C.
Norman L. Pernick, Esq.
Patrick J. Reilley, Esq.
Michael E. Fitzpatrick, Esq.
500 Delaware Avenue, Suite 1410
Wilmington, DE 19801
Telephone: (302) 652-3131
Facsimile: (302) 652-3117
E-mail: npernick@coleschotz.com
preilley@coleschotz.com
mfitzpatrick@coleschotz.com
- and -
Jayme Goldstein, Esq.
Christopher Guhin, Esq.
Isaac S. Sasson, Esq.
PAUL HASTINGS LLP
200 Park Avenue
New York, NY 10166
Telephone: (212) 318-6000
Facsimile: (212) 319-4090
E-mail: jaymegoldstein@paulhastings.com
chrisguhin@paulhastings.com
isaacsasson@paulhastings.com
A copy of the Rule 2019 filing, downloaded from PacerMonitor.com,
is available at https://bit.ly/3pame4y and https://bit.ly/3zOupbk
About OSG Group Holdings
OSG Group Holdings Inc. -- https://osgconnect.com/ -- through its
subsidiaries, offers outsourced communications solutions to
corporate clients primarily in North America and Europe, the Middle
East, and Asia. The Company provides complementary services such
as online payment portals, call centers, document scanning and
accounts payable software.
OSG Group Holdings and affiliates sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10718)
on August 7, 2022. In the petition filed by Erik W. Ek, as
president, secretary and treasurer, OSG reported assets between
$500,000 and $1 billion and liabilities between $1 billion and $10
billion.
The Debtors tapped Ropes & Gray LLP as general bankruptcy counsel;
Bayard, P.A., as Delaware bankruptcy counsel; FTI Consulting, Inc.,
as financial advisor; and Evercore Group L.L.C. as investment
banker. Stretto, Inc., serves as claims agent.
OSG GROUP: Unsecured Creditors be Paid in Full or be Reinstated
---------------------------------------------------------------
OSG Group Holdings, Inc., and its Debtor Affiliates filed with the
U.S. Bankruptcy Court for the District of Delaware a Disclosure
Statement for Joint Prepackaged Chapter 11 Plan of Reorganization
dated August 7, 2022.
The Debtors, together with their non-Debtor subsidiaries (the
"Company"), offer outsourced communications solutions to corporate
clients primarily in North America and Europe, the Middle East, and
Africa ("EMEA").
The Debtors filed these Chapter 11 Cases to implement the terms of
the prepackaged Plan and the go-forward business plan on which the
prepackaged Plan is based. In that regard, these Chapter 11 Cases
will comprehensively restructure the Debtors' prepetition secured
debt, preserve the going-concern value of the Debtors' businesses,
maximize all creditor recoveries (including by paying General
Unsecured Claims in full and assuming all Executory Contracts and
Unexpired Leases), and protect the jobs of the Debtors' employees.
The Plan implements a prepackaged restructuring agreed to among the
Debtors and the Debtors' major stakeholders, including the
including the Consenting First Lien Lenders (entitled to vote more
than 88.7% of the aggregate amount of Existing First Lien Claims to
accept or reject the Plan), the Consenting Second Lien Lenders
(entitled to vote 100% of the aggregate amount of Existing Second
Lien Claims to accept or reject the Plan), and the Sponsor
(entitled to vote all Claims and Interests arising under the Vox
Unsecured Promissory Note, the OSG February 8 Unsecured Promissory
Note, the Globalex Secured Note, and the Sponsor Globalex
Interest).
The anticipated benefits of the prepackaged restructuring,
including the Plan, include, without limitation, the following:
* A $25.4 million DIP Facility, of which $15 million will be
in the form of New Money DIP Term Loans, which will convert on the
Effective Date into (i) new equity investment in exchange for the
issuance of 28.8% of New Convertible Preferred Equity, and (ii)
$1,872,000 in principal amount of New Mezzanine Debt Loans in
respect of accrued interest on the Rolled-Up DIP Term Loans;
* Replacement of $598.1 million of Existing First Lien Claims
with approximately $601.1 million of Amended and Restated First
Lien Loans on the terms set forth in the Amended and Restated First
Lien Documents;
* Conversion of approximately $157.9 million of Existing
Second Lien Claims to (i) New Mezzanine Debt Loans and (ii) 100% of
the Reorganized Common Equity (subject to dilution by the
Management Incentive Plan and the conversion of New Convertible
Preferred Equity);
* Equitization of the Globalex Secured Note, the Vox Unsecured
Promissory Note, and the OSG February 8 Unsecured Promissory Note
and contribution of the Sponsor Globalex Interest to the Debtors in
exchange for 43.9% of the New Convertible Preferred Equity;
* Payment in full or Reinstatement of all General Unsecured
Claims;
* Assumption of all Unexpired Leases and Executory Contracts,
with continued performance and payment thereunder in the ordinary
course; and
* Prompt emergence from chapter 11.
The Plan provides for a comprehensive restructuring of the Debtors'
prepetition obligations, preserves the going-concern value of the
Debtors' businesses, maximizes all creditor recoveries, and
protects the jobs of the Debtors' invaluable employees, including
Management.
Class 5 consists of General Unsecured Claims. Each Holder of an
Allowed General Unsecured Claim shall (A) receive payment in full
in Cash of the unpaid portion of its Allowed General Unsecured
Claim paid in the ordinary course of business, (B) be Reinstated,
or (C) receive such other less favorable treatment as reasonably
agreed to by the Debtors and the Plan Sponsor Parties after
consultation with the Required Consenting First Lien Lenders. This
Class will receive a distribution of 100% of their allowed claims.
This Class is unimpaired.
Class 9 consists of Existing Holdings Common Interests. On the
Effective Date, all Allowed Existing Holdings Common Interests
shall be cancelled, released, and extinguished, and Holders of
Allowed Existing Holdings Common Interests shall not receive or
retain any property or distributions under the Plan on account of
such Allowed Existing Holdings Common Interests.
Class 10 consists of Intercompany Interests. On the Effective Date,
each Holder of an Allowed Intercompany Interest shall have its
Interest (A) Reinstated or (B) cancelled, released, and
extinguished and without any distribution at the Debtors’
election, with the consent of the Plan Sponsor Parties.
The Debtors shall fund distributions under the Plan with: (1) Cash
on hand, including Cash from operations; (2) the proceeds of the
DIP Loans; (3) the Amended and Restated First Lien Loans; (4) the
proceeds of the New Mezzanine Debt Loans; (5) the proceeds of the
New Convertible Preferred Equity; (6) the Sponsor Contributions;
(7) the Reorganized Common Equity; (8) the Vox Contribution; and
(9) the Contingent Value Rights Pool
Cash payments to be made pursuant to the Plan will be made by the
Reorganized Debtors. The Reorganized Debtors shall be entitled to
transfer funds between and among themselves as they determine to be
necessary or appropriate to enable the Reorganized Debtors to
satisfy their obligations under the Plan.
A full-text copy of the Disclosure Statement dated August 7, 2022,
is available at https://bit.ly/3vMoVga from STRETTO, INC., claims
agent.
Proposed Counsel for Debtors:
Gregg M. Galardi, Esq.
Cristine Pirro Schwarzman, Esq.
Kevin Liang, Esq.
Eric M. Sherman, Esq.
ROPES & GRAY LLP
1211 Avenue of the Americas
New York, New York 10036
Tel: (212) 596-9000
Fax: (212) 596-9090
E-mail: gregg.galardi@ropesgray.com
cristine.schwarzman@ropesgray.com
kevin.liang@ropesgray.com
eric.sherman@ropesgray.com
- and -
Stephen L. Iacovo, Esq.
Luke Smith, Esq.
ROPES & GRAY LLP
191 North Wacker Drive, 32nd Floor
Chicago, Illinois 60606
Tel: (312) 845-1200
Fax: (312) 845-5500
E-mail: stephen.iacovo@ropesgray.com
luke.smith@ropesgray.com
Erin R. Fay, Esq.
Gregory J. Flasser, Esq.
Maria Kotsiras, Esq.
BAYARD, P.A.
600 N. King Street, Suite 400
Wilmington, Delaware 19801
Tel: (302) 655-5000
Fax: (302) 658-6395
E-mail: efay@bayardlaw.com
gflasser@bayardlaw.com
mkotsiras@bayardlaw.com
About OSG Group Holdings
OSG Group Holdings Inc. -- https://osgconnect.com/ -- through its
subsidiaries, offers outsourced communications solutions to
corporate clients primarily in North America and Europe, the Middle
East, and Asia. The Company provides complementary services such
as online payment portals, call centers, document scanning and
accounts payable software.
OSG Group Holdings and affiliates sought protection under Chapter
11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No. 22-10718)
on August 7, 2022. In the petition filed by Erik W. Ek, as
president, secretary and treasurer, OSG reported assets between
$500,000 and $1 billion and liabilities between $1 billion and $10
billion.
The Debtors tapped ROPES & GRAY LLP as general bankruptcy counsel;
BAYARD, P.A., as Delaware bankruptcy counsel; FTI CONSULTING, INC.,
as financial advisor; and EVERCORE GROUP L.L.C. as investment
banker. STRETTO, INC., is the claims agent.
PETROTEQ ENERGY: Incurs US$9.1 Million Net Loss in Third Quarter
----------------------------------------------------------------
Petroteq Energy, Inc. reported a net loss of US$9.06 million on
US$0 of revenues from licensing fees for the three months ended May
31, 2022, compared to a net loss of US$4.94 million on US$0 of
revenues from licensing fees for the three months ended May 31,
2021.
For the nine months ended May 31, 2022, the Company reported a net
loss of US$15.01 million on US$0 of revenues from licensing fees
compared to a net loss of US$9.63 million on US$2 million of
revenues from licensing fees for the same period in 2021.
As of May 31, 2022, the Company had US$81.15 million in total
assets, US$10.54 million in total liabilities, and US$70.61 million
in total shareholders' equity.
A full-text copy of the Form 6-K is available for free at:
https://www.sec.gov/Archives/edgar/data/1561180/000106299322016926/exhibit99-2.htm
About Petroteq Energy Inc.
Petroteq Energy Inc. -- www.Petroteq.energy -- is a clean
technology company focused on the development, implementation and
licensing of a patented, environmentally safe and sustainable
technology for the extraction and reclamation of heavy oil and
bitumen from oil sands and mineable oil deposits. Petroteq is
currently focused on developing its oil sands resources at Asphalt
Ridge and upgrading production capacity at its heavy oil extraction
facility located near Vernal, Utah.
Petroteq Energy reported a net loss and comprehensive loss of $9.47
million for the year ended Aug. 31, 2021, a net loss and
comprehensive loss of $12.38 million for the year ended Aug. 31,
2020, and a net loss and comprehensive loss of $15.79 million for
the year ended Aug. 31, 2019. As of Nov. 30, 2021, the Company had
$79.79 million in total assets, $10.67 million in total
liabilities, and $69.12 million in total shareholders' equity.
Vancouver, British Columbia, Canada-based Hay & Watson, the
Company's auditor since 2012, issued a "going concern"
qualification in its report dated Dec. 14, 2021, citing that the
Company has had recurring losses from operations and has a net
capital deficiency, which raises substantial doubt about its
ability to continue as a going concern.
PIKE CORP: S&P Affirms 'B' Issuer Credit Rating, Outlook Stable
---------------------------------------------------------------
S&P Global Ratings affirmed its 'B' issuer credit rating on Pike
Corp. S&P assigned its 'B' issue-level and '3' recovery rating to
Pike's proposed $300 million term loan B.
S&P said, "We affirmed our 'B' issue-level on the company's
existing first-lien term loan and revolver. The recovery rating
remains '3', indicating our expectation for meaningful recovery. We
also affirmed our 'CCC+' issue-level on the company's senior
unsecured notes, with a '6' recovery rating.
"The stable outlook reflects our view that the company will have
solid revenue growth, driven by its backlog of work and continued
demand from its utility customers. We expect S&P Global
Ratings'-adjusted debt to EBITDA will be above 6x in 2022,
improving to below 6x in 2023.
"We expect Pike's adjusted debt to EBITDA will increase to above 6x
in 2022 before improving to below 6x in 2023 due to higher adjusted
debt.
"We believe Pike's recurring construction and maintenance revenues
and demand from utility capital spending provide revenue
visibility. We expect total revenue growth in the mid-20 percent
area for 2022 that stems from double-digit core revenue growth and
additional revenues from previous and proposed acquisitions. We
assume some level of storm-related work, although these revenues
fluctuate over time. We also anticipate Pike will continue passing
through higher costs through 2023. The company has also hedged a
portion of its fuel costs. As such, we expect the company to
maintain it's good profitability, with adjusted EBITDA margins in
the mid-teens.
"We anticipate solid free operating cash flow (FOCF) generation in
2023.
"We assume a relatively stable level of profitability this year and
next, with incrementally increasing capital expenditures. Although
we expect some working capital outflows in 2022, we do not
anticipate this will persist in 2023 and expect Pike to generate
FOCF to debt above 5%.
"The stable outlook on Pike reflects our expectation for a
continued improvement in its earnings while it maintains healthy
EBITDA margins. In our base-case forecast, we assume S&P Global
Ratings'-adjusted debt to EBITDA of above 6x improves to below 6x
in 2023.
"We could lower our ratings on Pike during the next 12 months if
its adjusted debt leverage remains above 6.5x or higher on a
sustained basis. We could also lower our ratings if we believe its
FOCF to adjusted debt will decline below the 2%-3% range on a
sustained basis. We believe this could occur if the company's
EBITDA margins deteriorate.
"We could raise our rating on Pike if its adjusted debt leverage
declines and remains comfortably below 5x on a sustained basis
while its FOCF to adjusted debt remains well above 5%. This could
occur if the company's EBITDA margins increase to above 20% and
allocates excess cash flow for debt repayment. We would also need
to believe the company's owners are committed to maintaining credit
metrics at these levels."
QUALITAT DRYWALL: Gets OK to Hire Adolfo Yee as Accountant
----------------------------------------------------------
Qualitat Drywall, LLC received approval from the U.S. Bankruptcy
Court for the Southern District of California to employ Adolfo Yee,
a certified public accountant practicing in San Diego, Calif.
The Debtor requires an accountant to:
a. prepare 90-day and 180-day profit and loss projections;
b. prepare balance sheets and profit and loss statements for
2021 and 2022 since those are both compliance documents required by
the Office of the U.S. Trustee;
c. prepare monthly operating reports;
d. create spreadsheets and distribution terms and timing of the
reorganization plan; and
e. consult with the Debtor and its legal counsel on financial
matters related to the plan.
Mr. Yee will be paid at his hourly rate of $125 and will be
reimbursed for out-of-pocket expenses incurred.
In court papers, Mr. Yee disclosed that he is a "disinterested
person" as the term is defined in Section 101(14) of the Bankruptcy
Code.
Mr. Yee holds office at:
Adolfo Yee, CPA
3422 Winlow St.
San Diego, CA 92105
Tel: (619) 761-3775
About Qualitat Drywall
Qualitat Drywall LLC -- https://qualitatdrywall.com/ -- is a
drywall contractor in Southern California.
Qualitat Drywall sought protection under Subchapter V of Chapter 11
of the U.S. Bankruptcy Code (Bankr. S.D. Calif. Case No. 22-01405)
on May 27, 2022, listing $100,000 to $500,000 in assets and
$500,000 to $1 million in liabilities. Jean Goddard has been
appointed as Subchapter V trustee.
Judge Margaret M. Mann oversees the case.
Steven E. Cowen, Esq., at S.E. Cowen Law and Adolfo Yee, CPA serve
as the Debtor's legal counsel and accountant, respectively.
REVLON INC: CFO Dolan Retires, A&M's Kvarda Named Interim CFO
-------------------------------------------------------------
Revlon, Inc. on Aug. 9, 2022, disclosed that Victoria Dolan is
retiring as the Company's Chief Financial Officer ("CFO"). Ms.
Dolan will remain with Revlon until September 30, 2022 to ensure a
smooth transition of her responsibilities.
The Company also disclosed that Matt Kvarda, Managing Director at
Alvarez & Marsal, will join as interim CFO, effective October 1.
Mr. Kvarda will report directly to Debra Perelman, Revlon's Chief
Executive Officer ("CEO").
"I want to thank Victoria for her tremendous dedication and
numerous contributions over the past four years as part of our team
and I wish her all the best in retirement," Ms. Perelman said. "We
are fortunate to have Matt on board and look forward to working
closely with him to drive forward the restructuring process in the
months to come."
In his nearly 30 years of experience, Mr. Kvarda has served in
interim leadership roles at numerous companies including as interim
CFO at TEAM, Inc. (NYSE: TISI) and interim CFO at Jacuzzi Brands.
Since joining A&M in 2004, he has led all aspects of the accounting
and finance process. Prior to joining A&M, Mr. Kvarda was a Senior
Director at KPMG LLP and also previously held leadership positions
at Arthur Andersen & Co. and Bank of America.
About Revlon Inc.
Revlon Inc. manufactures, markets and sells an extensive array of
beauty and personal care products worldwide, including color
cosmetics; fragrances; skin care; hair color, hair care and hair
treatments; beauty tools; men's grooming products; anti-perspirant
deodorants; and other beauty care products. Today, Revlon's
diversified portfolio of brands is sold in approximately 150
countries around the world in most retail distribution channels,
including prestige, salon, mass, and online.
Since its breakthrough launch of the first opaque nail enamel in
1932, Revlon has provided consumers with high quality product
innovation, performance and sophisticated glamour. In 2016, Revlon
acquired the iconic Elizabeth Arden company and its portfolio of
brands, including its leading designer, heritage and celebrity
fragrances.
Revlon is among the leading global beauty companies, with some of
the world's most iconic and desired brands and product offerings in
color cosmetics, skin care, hair color, hair care and fragrances
under brands such as Revlon, Revlon Professional, Elizabeth Arden,
Almay, Mitchum, CND, American Crew, Creme of Nature, Cutex, Juicy
Couture, Elizabeth Taylor, Britney Spears, Curve, John Varvatos,
Christina Aguilera and AllSaints.
Revlon, Inc., sought Chapter 11 protection (Bankr. S.D.N.Y. Case
No. 22-10760) on June 15, 2022. Fifty affiliates, including Almay,
Inc, Beautyge Brands USA, Inc., and Elizabeth Arden, Inc., also
sought bankruptcy protection on June 15 and June 16, 2022.
Revlon disclosed total assets of $2,328,093,000 against total
liabilities of $3,689,240,395 as of April 30, 2022.
The Hon. David S. Jones is the case judge.
PJT Partners is acting as financial advisor to Revlon and Alvarez &
Marsal is acting as restructuring advisor. Paul, Weiss, Rifkind,
Wharton & Garrison LLP is acting as legal advisor to the Company.
Mololamken, LLC, is the conflicts counsel. Kroll, LLC, is the
claims agent.
REZDORA USA: Taps Law Offices of Gabriel Del Virginia as Counsel
----------------------------------------------------------------
Rezdora USA, LLC seeks approval from the U.S. Bankruptcy Court for
the Southern District of New York to employ the Law Offices of
Gabriel Del Virginia as its legal counsel.
The firm's services include:
a. providing the Debtor with legal advice regarding its
authorities and duties in the continued operation of its business
and the management of its property and affairs;
b. preparing legal documents and assisting the Debtor and its
accounting professionals in preparing monthly reports to be
submitted to the Office of the U.S. Trustee; and
c. performing additional legal services for the Debtor, which
may be necessary and appropriate in the conduct of its bankruptcy
case.
The Law Offices of Gabriel Del Virginia will be paid at these
rates:
Partners $650 per hour
Associates $325 per hour
Paralegals $135 per hour
The firm will also be reimbursed for its out-of-pocket expenses.
The Law Offices of Gabriel Del Virginia received from the Debtor a
retainer of $21,717, inclusive of filing fee.
Gabriel Del Virginia, Esq., disclosed in a court filing that the
firm is a "disinterested person" as the term is defined in Section
101(14) of the Bankruptcy Code.
The firm can be reached at:
Gabriel Del Virginia, Esq.
Law Offices of Gabriel Del Virginia
30 Wall Street, 12th Floor
New York, New York 10005
Tel: (212) 371-5478
Fax: (212) 371-0460
Email: gabriel.delvirginia@verizon.net
About Rezdora USA
Rezdora USA, LLC -- https://www.rezdora.nyc/ -- operates a Northern
Italian restaurant in New York City.
Rezdora USA sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. S.D.N.Y. Case No. 22-10647) on May 20,
2022, listing up to $50,000 in assets and up to $500,000 in
liabilities. Alessandro Morani, member of Rezdora USA, signed the
petition.
Judge James L. Garrity Jr. oversees the case.
Gabriel Del Virginia, Esq., at the Law Offices of Gabriel Del
Virginia is the Debtor's legal counsel.
SEADRILL LTD: Board Approves New Management Incentive Plan
----------------------------------------------------------
The board of directors of Seadrill Limited has approved a new
management incentive plan (the "Plan") under which awards may be
made to certain members of the Company's management and other
leading employees. The Plan is designed to align the interests of
eligible participants with those of the Company's shareholders by
providing long-term incentive compensation opportunities tied to
the participants' continued services to the Company and the
performance of the Company and its shares.
The Plan provides that the remuneration committee of the board of
directors of the Company (the "Committee") may make various equity
awards to participants, including Time-vested Restricted Stock
Units ("TRSUs") and Performance Restricted Stock Units ("PRSUs"),
provided that the Plan is limited to a total of 2,910,053 common
shares, representing approximately 5.5% of the fully-diluted common
equity of Seadrill as provided for under the Plan of Reorganization
of Seadrill Limited and its debtor affiliates pursuant to Chapter
11 of the United States Bankruptcy Code under which the Company
emerged from bankruptcy on 22 February 2022. After approval of the
Plan by the board of directors, the Committee made initial awards
under the Plan including (i) a total of 128,759 TRSUs for
management and employees, vesting ratably annually on each of the
first three anniversaries of grant, subject to continued employment
through such date, and (ii) a total of 300,435 PRSUs for management
and employees, to vest in a cliff at the end of a three-year
performance period subject to continued employment through such
date and achieving certain performance objectives linked to the
closing share price reaching certain levels for at least 45
consecutive trading days during the three-year performance period,
as follows: 0% to vest if the share price is below 1.5X share price
at the time of award (the "Original Share Price"), 50% to vest if
the share price is equal to 1.5X the Original Share Price, 75% to
vest if the share price is equal to 2X the Original Share Price,
and 100% to vest if the share price is equal to 2.5X the Original
Share Price. Vesting for achievement between any of these points
shall be subject to straight-line interpolation. The Original Share
Price was set by reference to the volume weighted average price of
Seadrill Limited common shares one day prior to the approval of the
Plan and grant of the awards. Vested TRSUs and PRSUs will be
settled, at the discretion of the Committee, in cash or, subject to
receiving the approval of shareholders of the Company at the next
Annual General Meeting, shares of common stock in Seadrill. The
magnitude of the initial awards under the Plan is designed to
provide substantial and immediate alignment of the long-term
interests of shareholders and participants in the Plan and reflects
the fact that executives of the Company did not prior to approval
of the Plan and the grants have any equity interests in the Company
given the Company's recent emergence from bankruptcy.
The primary insiders of the Company, Simon Johnson (Chief Executive
Officer), Grant Creed (EVP, Chief Financial Officer), Leif Nelson
(EVP, Chief Operations & Technology Officer), Torsten
Sauer-Petersen (EVP, Human Resources) and Samir Ali (EVP, Chief
Commercial Officer) have been awarded a total of 125,553 TRSUs and
a total of 292,955 PRSUs under the Plan, as further described in
the attached forms.
This information is subject to disclosure requirements pursuant to
article 19 of the Regulation EU 596/2014 (the EU Market Abuse
Regulation) and section 5-12 of the Norwegian Securities Trading
Act.
About Seadrill Ltd.
Seadrill Limited (OSE: SDRL, OTCQX: SDRLF) --
http://www.seapdrill.com/-- is a deepwater drilling contractor
providing drilling services to the oil and gas industry. As of
March 31, 2018, it had a fleet of over 35 offshore drilling units
that include 12 semi-submersible rigs, 7 drillships, and 16 jack-up
rigs.
On Sept. 12, 2017, Seadrill Limited sought Chapter 11 protection
after reaching terms of a reorganization plan that would
restructure $8 billion of funded debt. It emerged from bankruptcy
in July 2018.
Demand for exploration and drilling has fallen further during the
COVID-19 pandemic as oil firms seek to preserve cash, idling more
rigs and leading to additional overcapacity among companies serving
the industry.
In June 2020, Seadrill wrote down the value of its rigs by $1.2
billion and said it planned to scrap 10 rigs. Seadrill said it is
in talks with lenders on a restructuring of its $5.7 billion bank
debt.
Seadrill Partners LLC, a limited liability company formed by
deepwater drilling contractor Seadrill Ltd. to own, operate and
acquire offshore drilling rigs, along with its affiliates, sought
Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 20-35740) on
Dec. 1, 2020, after its parent company swept one of its bank
accounts to pay disputed management fees. Mohsin Y. Meghji,
authorized signatory, signed the petitions.
On Feb. 7, 2021, Seadrill GCC Operations Ltd., Asia Offshore
Drilling Limited, Asia Offshore Rig 1 Limited, Asia Offshore Rig 2
Limited, and Asia Offshore Rig 3 Limited sought Chapter 11
protection. Seadrill GCC estimated $100 million to $500 million in
assets and liabilities as of the bankruptcy filing.
Additionally, on Feb. 10, 2021, Seadrill Limited and 114 affiliated
debtors each filed a voluntary petition for relief under Chapter 11
of the United States Bankruptcy Code with the Court. The lead case
is In re Seadrill Limited (Bankr. S.D. Tex. Case No. 21-30427).
Seadrill Limited disclosed $7.291 billion in assets against $7.193
billion in liabilities as of the bankruptcy filing.
In the new Chapter 11 cases, the Debtors tapped Kirkland & Ellis
LLP as counsel; Houlihan Lokey, Inc., as financial advisor; Alvarez
& Marsal North America, LLC as restructuring advisor; Jackson
Walker LLP as co-bankruptcy counsel; Slaughter and May as co
corporate counsel; Advokatfirmaet Thommessen AS as Norwegian
counsel; and Conyers Dill & Pearman as Bermuda counsel. Prime
Clerk LLC is the claims agent.
On April 9, 2021, the board of directors of Debtor Seadrill North
Atlantic Holdings Limited unanimously adopted resolutions
appointing Steven G. Panagos and Jeffrey S. Stein as independent
directors to the board. Seadrill North Atlantic Holdings Limited
tapped Katten Muchin Rosenman LLP as counsel and AMA
CapitalPartners, LLC, as a financial advisor at the sole direction
of independent directors.
* * *
Seadrill's Chapter 11 plan of reorganization was confirmed by the
U.S. Bankruptcy Court for the Southern District of Texas on Oct.
26, 2021. The Company emerged from bankruptcy on Feb. 22, 2022.
The Plan raises $350 million in new financing and reduces the
Company's existing liabilities by $4.9 billion, while leaving
employee, customer, and trade claims unaffected. Existing
shareholders will see their holding in the post emergence entity
decrease to 0.25%.
SHO-ME NUTRICEUTICALS: Case Summary & One Unsecured Creditor
------------------------------------------------------------
Debtor: Sho-Me Nutriceuticals Acquisition Company
15431 Flight Path Drive
Brooksville, FL 34604
Chapter 11 Petition Date: August 9, 2022
Court: United States Bankruptcy Court
Middle District of Florida
Case No.: 22-03215
Debtor's Counsel: Samantha L Dammer, Esq.
BLEAKLEY BAVOL DENMAN & GRACE
15316 N. Florida Avenue
Tampa, FL 33613
Tel: (813) 221-3759
Email: sdammer@bbdglaw.com
Total Assets: $0
Total Liabilities: $2,200,000
The petition was signed by Christopher Reckner as authorized
representative.
The Debtor listed Centennial Bank as its only unsecured creditor.
A full-text copy of the petition is available for free at
PacerMonitor.com at:
https://www.pacermonitor.com/view/LDAAZLI/Sho-Me_Nutriceuticals_Acquisition__flmbke-22-03215__0001.0.pdf?mcid=tGE4TAMA
SKILLZ INC: Gaffney Quits as Director, Hoffman Named as Replacement
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Christopher Gaffney notified Skillz Inc. of his decision to resign
from the Company's Board of Directors, including from the Audit
Committee of the Board, effective Aug. 1, 2022.
Mr. Gaffney's resignation did not result from any disagreement with
the Company on any matter relating to the Company's operations,
policies or practices, as disclosed in a Form 8-K filed with the
Securities and Exchange Commission.
On Aug. 3, 2022, a majority in voting power of the shares of
capital stock the Company appointed Mr. Henry Hoffman to the Board.
Mr. Hoffman, 38, is a partner at SL Advisors and portfolio manager
of the SL Advisors MLP & Infrastructure SMA strategies. He is also
co-portfolio manager of the Catalyst Energy Infrastructure Fund
(MLXIX) and co-portfolio manager for the Rational Inflation Growth
Fund (IGOIX). Hoffman is a co-creator of the American Energy
Indices, with a deep passion for the energy infrastructure space.
Mr. Hoffman has been with SL Advisors since 2010. Before joining
SL Advisors, he worked as a buy-side equity analyst for PNC Capital
Advisors and a private equity real estate analyst for PNC Realty
Investors. Hoffman graduated from Duke University with a B.S in
economics and a minor in chemistry.
Also on Aug. 3, 2022, the Board appointed Mr. Hoffman to the Audit
Committee to fill the vacancy created by Mr. Gaffney's resignation.
The Board affirmatively determined that Mr. Hoffman (i) is an
independent director under the applicable rules of the NYSE and as
such term is defined in Rule 10A-3(b)(1) under the Securities
Exchange Act of 1934, as amended and (ii) meets all applicable
requirements for membership on the Audit Committee.
There is no arrangement or understanding between Mr. Hoffman and
any other persons pursuant to which Mr. Hoffman was appointed as a
director. Furthermore, there are no family relationships between
Mr. Hoffman and any other director or executive officer of the
Company and there are no transactions between Mr. Hoffman and the
Company that would be required to be reported under Item 404(a) of
Regulation S-K.
Following the resignation of Mr. Gaffney from the Board, the Audit
Committee was temporarily reduced to two members. Due to the
reduced number of Audit Committee members, the Company was no
longer compliant with Section 303A.07(a) of the New York Stock
Exchange Listed Company Manual, which requires that the audit
committee of an NYSE-listed company consists of at least three
members. Promptly after receiving notification of Mr. Gaffney's
resignation, the Company notified the NYSE of the resulting
non-compliance with Section 303A.07(a). With the addition of Mr.
Hoffman to the Audit Committee, the Company has regained compliance
with the applicable NYSE listing standard and notified the NYSE of
the same.
The Company also announced that the employment of the Company's
Chief Product Officer, Vatsal Bhardwaj, will terminate effective
Aug. 5, 2022.
About Skillz Inc.
Skillz -- www.skillz.com -- is a mobile games platform that
connects players in fair, fun, and meaningful competition. The
Skillz platform helps developers build multi-million dollar
franchises by enabling social competition in their games.
Leveraging its patented technology, Skillz hosts billions of casual
esports tournaments for millions of mobile players worldwide, and
distributes millions in prizes each month.
Skillz reported a net loss of $181.38 million in 2021, a net loss
of $145.51 million in 2020, and a net loss of $23.60 million in
2019. As of March 31, 2022, the Company had $932.54 million in
total assets, $380.90 million in total liabilities, and $551.64
million in total stockholders' equity.
* * *
As reported by the TCR on March 31, 2022, S&P Global Ratings
lowered its issuer credit rating on San Francisco-based mobile
gaming platform operator Skillz Inc. to 'CCC+' from 'B-'.
Also in March 2022, Moody's Investors Service downgraded the
Corporate Family Rating of Skillz Inc. to Caa1 from B3 following
the company's recent guidance for greater cash flow losses over the
next year, reflecting higher governance risk.
SUNGARD AS: Expects to Close 365 Asset Acquisition by Fall
----------------------------------------------------------
Sungard Availability Services (Sungard AS) on Aug. 1 disclosed
that, subject to court approval, it has entered into an Asset
Purchase Agreement with 365 Data Centers to acquire a majority of
its U.S. Colocation and Network business. The transaction with 365
Data Centers is subject to court approval and customary closing
conditions. The hearing by the court to approve the Asset Purchase
Agreement with 365 Data Centers is scheduled for August 24, 2022.
The Company expects the transaction to close this fall.
All of Sungard AS' businesses in North America are continuing to
operate largely business as usual and meeting the needs of
customers, whether included in the Asset Purchase Agreement or not.
Sungard AS is continuing to evaluate potential sales or other
restructuring alternatives with respect to its Cloud and Managed
Services and Recovery Services operations while under the
protection of chapter 11 in the United States and the Companies'
Creditors Arrangement Act (CCAA) in Canada.
"We have been working hard to determine the best path forward for
our business in a manner that meets the critical needs of our
customers while strengthening our operating cost structure. The
combination of 365 Data Centers and our U.S. Colocation and Network
business is an important next step in this process and presents an
exciting opportunity in the marketplace with a growing, strong,
reputable buyer who is committed to our customers," said Michael K.
Robinson, Chief Executive Officer and President, Sungard
Availability Services.
Additional information about Sungard AS's chapter 11 filing can be
found at: https://cases.ra.kroll.com/SungardAS.
Information about the Canadian proceedings can be found at:
http://www.alvarezandmarsal.com/SungardASCanada.
Sungard AS is advised in this matter by Akin Gump Strauss Hauer &
Feld LLP, Jackson Walker LLP, Cassels Brock & Blackwell LLP, FTI
Consulting, Inc., DH Capital, LLC and Houlihan Lokey Capital, Inc.
About Sungard AS New Holdings
Sungard Availability Services is a Wayne, Pa.-based
information-technology services provider owned by Angelo Gordon,
Blackstone Credit, FS/KKR Advisor LLC and Carlyle Group Inc. It
provides disaster recovery services, colocation and network
services, cloud and managed services and workplace recovery to
customers in North America, Europe and Asia.
The company and its affiliates filed for Chapter 11 protection
twice in three years.
Sungard filed for Chapter 11 bankruptcy in 2019 with a prepackaged
plan that was approved by a New York bankruptcy court one day after
it was filed.
Sungard AS New Holdings, LLC and affiliates, including Sungard
Availability Services, LP, sought protection under Chapter 11 of
the Bankruptcy Code (Bankr. S.D. Texas Case No. 22-90018) on April
11, 2022. Judge David R. Jones oversees the case.
In the petition signed by Michael K. Robinson, CEO and president,
Sungard AS disclosed up to $1 billion in both assets and
liabilities.
Sungard Availability Services (UK) Limited, an indirect subsidiary
of Holdings, entered into administration in the UK on March 25,
2022. Meanwhile, Sungard Canada filed an application for
recognition in Canada under the Companies Creditors' Arrangement
Act of its Chapter 11 case.
Akin Gump Strauss Hauer & Feld LLP and Jackson Walker serve as
legal counsel to the Debtors. Cassels Brock & Blackwell LLP,
serves as their Canadian legal counsel. DH Capital, LLC and
Houlihan Lokey, Inc., act as investment bankers. FTI Consulting,
Inc. serves as financial and restructuring advisor.
Alvarez & Marsal Canada Inc., serves as Canadian court-appointed
information officer and is represented by Bennett Jones, LLP as
counsel in connection with the Canadian proceedings.
Kroll Restructuring Administration, LLC serves as notice and claims
agent.
Proskauer Rose, LLP and Gray Reed & McGraw, LLP serve as counsel to
Acquiom Agency Services LLC, the Term Loan DIP agent, and Term Loan
DIP lenders.
PNC Bank, National Association, serves as administrative agent and
collateral agent, under the DIP ABL facility. PNC is represented by
Thompson Coburn Hahn & Hessen LLP as counsel.
TARINA TARANTINO: Gets OK to Hire Hilco as Real Estate Broker
-------------------------------------------------------------
Tarina Tarantino Management, LLC received approval from the U.S.
Bankruptcy Court for the Central District of California to employ
Hilco Real Estate, LLC as real estate broker.
The Debtor requires a real estate broker to market for sale a
commercial building located at 908-910 Broadway Ave., Los Angeles,
Calif.
The firm will be paid a commission of 4.5 percent of the gross sale
proceeds.
Sarah Baker, vice president of Hilco, disclosed in a court filing
that her firm is a "disinterested person" as the term is defined in
Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Sarah Baker
Hilco Real Estate, LLC
5 Revere Drive, Suite 206
Northbrook, IL 60062
Tel: (847) 504-2462
Fax: (847) 897-0874
Email: sbaker@hilcoglobal.com
About Tarina Tarantino Management
Tarina Tarantino Management, LLC is the 100% owner of a commercial
real property located at 908-910 S. Broadway, Los Angeles, Calif.
Tarina Tarantino sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. C.D. Calif. Case No. 22-11910) on April 5,
2022, disclosing $18,181,129 in assets and $8,317,564 in
liabilities. Alfonso Campos, president of Tarina Tarantino, signed
the petition.
Judge Barry Russell oversees the case.
David B. Golubchik, Esq., at Levene, Neale, Bender, Yoo and
Golubchik, LLP and Carlsbad Certified Public Accountants serve as
the Debtor's legal counsel and accountant, respectively.
THORCO INC: Seeks to Hire Shimanek Law as Bankruptcy Counsel
------------------------------------------------------------
Thorco Inc. seeks approval from the U.S. Bankruptcy Court for the
District of Montana to hire Shimanek Law, PLLC to handle its
Chapter 11 case.
Shimanek Law will charge these hourly fees:
Attorneys $275
Paralegals $100
In addition, the firm will seek reimbursement for its out-of-pocket
expenses.
Shimanek Law received from the Debtor a retainer in the amount of
$14,772.42.
Matt Shimanek, Esq., a partner at Shimanek Law, disclosed in a
court filing that his firm is a "disinterested person" within the
meaning of Section 101(14) of the Bankruptcy Code.
Shimanek Law can be reached at:
Matt Shimanek, Esq.
Shimanek Law, PLLC
317 East Spruce St.
Missoula, MT 59802
Tel: (406) 544-8049
Email: matt@shimaneklaw.com
About Thorco Inc.
Thorco, Inc. is classified under heavy and civil engineering
construction and has been in business for more than 10 years. It is
located in Kalispell, Mont.
Thorco filed a petition under Chapter 11, Subchapter V of the
Bankruptcy Code (Bankr. D. Mont. Case No. 22-90119) on July 29,
2022, listing as much as $50,000 in both assets and liabilities.
Christy L. Brandon serves as Subchapter V trustee.
Judge Benjamin P. Hursh oversees the case.
Matt Shimanek, Esq., at Shimanek Law, PLLC is the Debtor's legal
counsel.
TICONDEROGA FARMS: Seeks to Hire Gilbert LLP as Bankruptcy Counsel
------------------------------------------------------------------
Ticonderoga Farms, LLC seeks approval from the U.S. Bankruptcy
Court for the Eastern District of Virginia to employ Gilbert, LLP
to serve as legal counsel in its Chapter 11 case.
The firm's services include:
a. advising the Debtor with respect to its powers and duties in
the continued management and operations of its business and
properties;
b. attending meetings and negotiating with representatives of
the creditors, interest holders and other concerned parties;
c. analyzing executory contracts and unexpired leases and
potential assumption, assignment or rejection of such contracts and
leases;
d. taking all necessary actions to protect and preserve the
Debtor's estate, including prosecuting actions on the Debtor's
behalf, defending any action commenced against the Debtor, and
representing the Debtor's interests in negotiations concerning
litigation in which the Debtor is involved, including objections to
claims filed against the estate;
e. preparing legal papers;
f. negotiating, preparing and seeking approval of a disclosure
statement and confirmation of a plan of reorganization;
g. advising the Debtor in connection with strategic issues
including the disposition of assets and formulation of a plan of
reorganization, and taking the necessary action to guide the Debtor
through such potential sale;
h. appearing before the bankruptcy court or any appellate
courts;
i. advising on corporate, litigation, finance and other legal
matters; and
j. performing other necessary legal services for the Debtor.
Gilbert will be paid at these rates:
Partners $700 to $750 per hour
Associates $315 to $660 per hour
Paralegals $200 to $350 per hour
The firm will also be reimbursed for its out-of-pocket expenses.
W. Hunter Winstead, Esq., a partner at Gilbert, disclosed in a
court filing that the firm is a "disinterested person" as the term
is defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
W. Hunter Winstead, Esq.
Heather Frazier, Esq.
Gilbert, LLP
700 Pennsylvania Avenue, SE Suite 400
Washington, DC 20003
Tel: (202) 772-2200
Fax: (202) 772-3333
About Ticonderoga Farms
Ticonderoga Farms, LLC -- https://www.amazingfarmfun.com -- offers
a variety of picnic areas, shelters and barns for hosting large
corporate events, family reunions, and picnic outings. Based in
Chantilly, Va., Ticonderoga Farms conducts business under the name
Amazing Farm.
Ticonderoga Farms sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. E.D. Va. Case No. 22-10794) on June 22,
2022. In the petition filed by Peter Knop, managing member, the
Debtor listed assets between $10 million and $50 million and
liabilities between $1 million and $10 million.
Judge Klinette H. Kindred oversees the case.
Gilbert, LLP and Odin, Feldman & Pittleman, P.C. serve as the
Debtor's lead bankruptcy counsel and local counsel, respectively.
TRANSOCEAN LTD: Secures $321-Mil. Contract for Deepwater Conqueror
------------------------------------------------------------------
Transocean Ltd.'s ultra-deepwater drillship, Deepwater Conqueror,
has been awarded a two-year contract by a major operator for work
in the U.S. Gulf of Mexico at $440,000 per day with up to an
incremental $39,000 per day for additional products and services.
Excluding revenue associated with the additional products and
services, the new contract adds an estimated $321 million in
backlog and is expected to begin in December 2022 in direct
continuation of the rig's current contract.
About Transocean
Transocean Ltd. is an international provider of offshore contract
drilling services for oil and gas wells. The Company specializes in
technically demanding sectors of the offshore drilling business
with a particular focus on ultra-deepwater and harsh environment
drilling services.
Transocean reported a net loss of $591 million for the year ended
Dec. 31, 2021, a net loss of $568 million for the year ended Dec.
31, 2020, and a net loss of $1.25 billion for the year ended Dec.
31, 2019. As of June 30, 2022, the Company had $20.55 billion in
total assets, $1.53 billion in total current liabilities, $7.84
billion in total long-term liabilities, and $11.17 billion in total
equity.
* * *
As reported by the TCR on July 11, 2022, S&P Global Ratings lowered
its issuer credit rating on Switzerland-based offshore drilling
company Transocean Ltd to 'CCC-' from 'CCC'. S&P's 'CCC-' issuer
credit rating reflects its view that the Company will execute a
distressed exchange or debt restructuring over the next six months.
TRANSOCEAN LTD: Secures $915-Mil. Contract for Petrobras 10000
--------------------------------------------------------------
Transocean Ltd.'s ultra-deepwater drillship, Petrobras 10000,
received a 5.8-year contract for work offshore Brazil with a
national oil company.
The contract adds an estimated $915 million in backlog and is
expected to commence in October 2023 and end in August 2029.
The estimated firm backlog excludes income associated with the
customer's anticipated use of the Company's patented dual-activity
technology on the Petrobras 10000.
About Transocean
Transocean Ltd. is an international provider of offshore contract
drilling services for oil and gas wells. The Company specializes in
technically demanding sectors of the offshore drilling business
with a particular focus on ultra-deepwater and harsh environment
drilling services.
Transocean reported a net loss of $591 million for the year ended
Dec. 31, 2021, a net loss of $568 million for the year ended Dec.
31, 2020, and a net loss of $1.25 billion for the year ended Dec.
31, 2019. As of June 30, 2022, the Company had $20.55 billion in
total assets, $1.53 billion in total current liabilities, $7.84
billion in total long-term liabilities, and $11.17 billion in total
equity.
* * *
As reported by the TCR on July 11, 2022, S&P Global Ratings lowered
its issuer credit rating on Switzerland-based offshore drilling
company Transocean Ltd to 'CCC-' from 'CCC'. S&P's 'CCC-' issuer
credit rating reflects its view that the Company will execute a
distressed exchange or debt restructuring over the next six months.
TREETOP DEVELOPMENT: Hadid's $250M Mansion Moves Into Bankruptcy
----------------------------------------------------------------
Christian Bautista of The Real Deal reports that spec mansion
developer Mohamed Hadid's web of financial and legal entanglements
continues to grow with the possibility of losing the priciest piece
of his portfolio, a partially built Beverly Hills mansion that
holds the distinction of being Los Angeles County's most expensive
residential listing.
On Monday, August 1, 2022, Hadid filed for Chapter 11 bankruptcy on
9650 Cedarbrook Drive, a planned 78,000-square-foot home that's
currently on the market for $250 million, according to documents
filed in California's Central District court in Los Angeles. The
project, which sits on a 37-acre lot, is the largest-ever permitted
residential construction in Los Angeles, according to a listing on
Zillow.
The complex, which consists of 12 separate parcels, includes a main
residence and a guest house. Plans call for 19 bedrooms, 28.5
bathrooms, a Turkish bath, indoor and outdoor pools and a bowling
lane.
Hadid offered buyers two options for the property. For the more
modest price of $92 million, a buyer could take over construction
once the foundation is complete. The astronomical $250 million
price is for a spec home that would be delivered upon completion.
The property resurfaced on listing sites in August of last year.
At the time, Rodrigo Iglesias, the Hilton & Hyland agent in charge
of the listing, told TRD that he was looking to bundle the
Cedarbrook Drive site with an adjacent property, also owned by
Hadid, that's nearly twice as large. That property, which is
undeveloped, has been the subject of a protracted dispute between
Hadid and conservationists.
The site, a popular hiking route known as Hastain Trail, is located
right next to Franklin Canyon Park. Hadid intended to build a
luxury gated community at the site. Opponents, meanwhile, want
public access to the 1.5-mile loop preserved. The Hadid LLCs that
own the adjacent site have since filed for bankruptcy.
Several contractors have filed liens against the Cedarbrook Drive
property since 2019, records show. One of the latest claims, from
April 9, 2021, disclosed a debt of $350,000. Several of the liens
have since been withdrawn.
In its Chapter 11 filing, the entity that owns the Cedarbrook Drive
property, which counts Hadid as its sole member, estimated its
assets between $100 million and $500 million. The limited
liability company listed 22 creditors.
The filing comes just months after the demolition of a Bel-Air
mansion that Hadid once attempted to sell for $100 million. It was
torn down after a judge declared the property "a clear and present
danger" to neighbors.
About Treetop Development
Mohamed Anwar Hadid is a Jordanian-American real estate developer.
He is known for building luxury hotels and mansions, mainly in the
Bel Air neighbourhood of Los Angeles and the city of Beverly Hills,
California.
Hadid's 901 Strada, LLC, based in Los Angeles, CA, filed a Chapter
11 petition (Bankr. C.D. Cal. Case No. 19-23962) on Nov. 27, 2019.
Strada was entity formed for the purpose of developing and
ultimately selling the real property perched on a hillside, and
with views to the ocean, located at 901 Strada Vecchia Road, Bel
Air, California. 901 Strada sought bankruptcy after the City of
Los Angeles revoked the building permits and a court ordered the
partially finished structures to be towrn down.
Hadid's Coldwater Development, LLC, and Lydda Lud, LLC, filed for
Chapter 11 bankruptcy in January 2021 (Bankr. C.D. Cal. Lead Case
No. 21-10335). Coldwater and Lydda Lud owned six highly prized,
vacant, residential estate lots, totaling 65.63 acres located in
the Santa Monica Mountains above Beverly Hills, California. The
debtors said the property was worth $130 million but was embroiled
in a dispute with the activist group "Friends of the Hastain
Trail", which has pushed for a recreational trail easement through
the property. The cases have since been converted to Chapter 7
liquidation and the property sold by the bankruptcy trustee for
just $1.7 million in April 2022.
Hadid's Treetop Development LLC, owner of a 9650 Cedarbrook Drive
in Beverly Hills, California, which is a planned 78,000-square-foot
home that's currently on the market for $250 million, sought
protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr.
C.D. Cal. Case No. 22-14165) on August 2, 2022. In the petition
filed by Mohamed A. Hadid, as manager of manager, the Debtor
reported assets between $100 million and $500 million and
liabilities between $10 million and $50 million. Lewis R Landau,
of LeWis R. Landau Attorney at law, is the Debtor's counsel.
TRUSENTIAL LLC: Healthcare Staffing Agency Applies for Chapter 11
-----------------------------------------------------------------
Trusential LLC filed for chapter 11 protection in the Northern
District of Ohio without stating a reason. The Debtor filed as a
small business debtor seeking relief under Subchapter V of Chapter
11 of the Bankruptcy Code.
According to its Web Site, Trusential Staffing has been providing
professional services to job-seekers and employers since 2007.
The Debtor disclosed $649,400 in assets against $195,950 in
liabilities in its schedules. Its unsecured liabilities include
"unpaid wages from AOM account" owed to several individuals.
According to its list of executory contracts, the Company has
contracts to provide temporary medical personnel to Concord Care
Center (Toledo, Ohio), Dialyze Direct (Neptune, New Jersey),
Franciscan Care Center (Toledio, Ohio), and Geneva Center for Rehab
and Nursing (Geneva, Ohio), Kingston Residence of Sylvania -
Assisted Living (Sylvania, Ohio), Kingston Residence of Sylvania -
Skilled Rehab (Sylvania, Ohio), Kingston Residence of Perrysburg -
Assisted Lyving (Perrysburg, Ohio), Ridgwood Manor (Maumee, OHio).
The Debtor has 5 months remaining on an office lease at Maumee,
Ohio.
The business had gross revenue of $322,365 in 2021 and $663,325
from Jan. 1, 2022 to AUg. 22, 2022.
According to court filings, Trusential LLC estimates between 1 and
49 creditors. The petition states funds will be available to
unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Sept. 2, 2022, at 3:00 p.m. -- Dial (866) 711-3592 and, upon
hearing the prompt, enter Access Code: 7627416#.
About Trusential LLC
Trusential LLC -- https://www.trusentialstaffing.com/ -- is a nurse
owned and operated healthcare staffing agency that provides
staffing placements for healthcare companies in need.
Trusential LLC filed a voluntary petition for relief under
Subchapter V of Chapter 11 of the Bankruptcy Code (Bankr. N.D. Ohio
Case No. 22-31144) on Aug. 3, 2022. In the petition filed by Cyona
Taylor-Randolph, as president and sole member, the Debtor reported
assets between $500,000 and $1 million against its estimated
liabilities between $100,000 and $500,000.
Patricia B. Fugee has been appointed as Subchapter V trustee.
Patricia A. Kovacs, of Patricia A. Kovacs, Attorney at Law, is the
Debtor's counsel.
VIVOS REAL ESTATE: SARE Files Bare-Bones Chapter 11 Petition
------------------------------------------------------------
Vivos Real Estate Holdings LLC filed for chapter 11 protection in
the District of Maryland without stating a reason.
The Debtor claims to be a Single Asset Real Estate. Its principal
asset is located at 22 Baltimore Rd., Rockville, MD 20850.
According to court documents, Vivos Real Estate estimates between 1
and 49 creditors. The petition states funds will be available to
unsecured creditors.
A meeting of creditors under 11 U.S.C. Section 341(a) is slated for
Aug. 29, 2022. Proofs of claim are due Nov. 28, 2022.
About Vivos Real Estate Holdings
Vivos Real Estate Holdings LLC is a Single Asset Real Estate (as
defined in 11 U.S.C. Sec. 101(51B)).
Vivos Real Estate Holdings LLC sought protection under Chapter 11
of the U.S. Bankruptcy Code (Bankr. D. Md. Case No. 22-14207) on
August 2, 2022. In the petition filed by Naveen Doki, as manager
and president, the Debtor reported assets up to $50,000 against
liabilities between $1 million and $10 million.
John D. Burns, of The Burns LawFirm LLC, is the Debtor's counsel.
VOYAGER DIGITAL: Gets Court OK to Let Customers Withdraw Cash
-------------------------------------------------------------
Vince Sullivan of Law360 reports that a New York judge granted a
request from bankrupt cryptocurrency platform Voyager Digital
Holdings to allow customers to make withdrawals from custodial
accounts holding their cash, finding Thursday that the money is not
property of the company's estate.
During a virtual hearing, U.S. Bankruptcy Judge Michael E. Wiles
said the request for relief was justified by the Debtor's
presentation of its customer agreements and agreements with
Metropolitan Commercial Bank, which holds $350 million of Voyager's
customer cash in "for benefit of" custodial accounts.
About Voyager Digital
Based in Toronto, Canada, Voyager Digital Holdings Inc. --
https://www.investvoyager.com/ -- runs a cryptocurrency platform.
Voyager claims to offer a secure way to trade over 100 different
crypto assets using its easy-to-use mobile application. Through
its subsidiary Coinify ApS, Voyager provides crypto payment
solutions for both consumers and merchants around the globe.
Voyager Digital Holdings Inc. and two affiliates sought protection
under Chapter 11 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Lead
Case No. 22-10943) on July 5, 2022. In the petition filed by
Stephen Ehrlich, as chief executive officer, the Debtor estimated
assets and liabilities between $1 billion and $10 billion.
The Debtors tapped KIRKLAND & ELLIS LLP as general bankruptcy
counsel; BERKELEY RESEARCH GROUP, LLC, as financial advisor; MOELIS
& COMPANY as investment banker; and CONSELLO GROUP as strategic
financial advisor. STRETTO, INC., is the claims agent.
WEYERBACHER BREWING: Gets OK to Hire Daniel Lee as Accountant
-------------------------------------------------------------
Weyerbacher Brewing Company, Inc. received approval from the U.S.
Bankruptcy Court for the Eastern District of Pennsylvania to employ
Daniel Lee, CPA as its accountant.
The Debtor requires an accountant to assist in the calculation of
its Employee Retention Credit for 2020 through the third quarter of
2021.
The firm will be paid a flat fee of $15,000.
Daniel Lee, a certified public accountant, disclosed in a court
filing that his firm is a "disinterested person" as the term is
defined in Section 101(14) of the Bankruptcy Code.
The firm can be reached at:
Daniel Lee
Daniel Lee, CPA
3874 Duncan Ave.
Clovis, CA 93619
Tel: (559) 908-1363
About Weyerbacher Brewing Company
Weyerbacher Brewing Company, Inc. is a brewery in Easton, Pa., and
is predominantly known for its Belgian-style brews, including Merry
Monks and QUAD. It was founded in 1995.
Weyerbacher Brewing Company filed a voluntary petition for relief
under Chapter 11 of the Bankruptcy Code (Bankr. E.D. Pa. Case No.
22-11665) on June 27, 2022, disclosing $1 million to $10 million in
both assets and liabilities. Daniel Weirback, president, signed the
petition.
Judge Patricia M. Mayer oversees the case.
Albert A. Ciardi, III, Esq., at Ciardi Ciardi & Astin and Daniel
Lee, CPA serve as the Debtor's legal counsel and accountant,
respectively.
WOUAFF WOUAFF: Wins Interim Cash Collateral Access
--------------------------------------------------
The U.S. Bankruptcy Court for the Middle District of Florida, Tampa
Division, authorized Wouaff Wouff LLC to use cash collateral on an
interim basis in accordance with the budget.
The Court said the Interim Order Granting Debtor's Amended Motion
to Use Cash Collateral rendered on July 7, 2022, will remain in
effect.
The Debtor is permitted to use cash collateral to pay: (a) amounts
expressly authorized by the Court; (b) the current and necessary
expenses set forth in the budget, plus an amount not to exceed 10%
for each line item; and (c) such additional amounts as may be
expressly approved in writing by the lenders Arsenal Funding,
Bluevine, Cloud Fund LLC, Fortress Merchant Solutions, Fox Business
Funding, Loan Builder, U.S. Small Business Administration and Rapid
Finance. This authorization will continue until further Court
order.
Each creditor with a security interest in cash collateral will have
a perfected post-petition lien against cash collateral to the same
extent and with the same validity and priority as the prepetition
lien, without the need to file or execute any document as may
otherwise be required under applicable non bankruptcy law.
The Debtor will maintain insurance coverage for its property in
accordance with the obligations under the loan and security
documents with the Lenders.
The preliminary hearing is continued to September 19 at 9:30 a.m.
A copy of the order and the Debtor's budget is available at
https://bit.ly/3oT5crn from PacerMonitor.com.
The budget provides for total cash outflow, on a weekly basis, as
follows:
$25,042 for Week 1;
$25,588 for Week 2;
$28,797 for Week 3;
$22,288 for Week 4;
$25,042 for Week 5;
$39,944 for Week 6;
$20,145 for Week 7;
$43,425 for Week 8;
$35,688 for Week 9;
$40,178 for Week 10;
$22,729 for Week 11;
$37,260 for Week 12;
$31,618 for Week 13;
$45,918 for Week 14;
$27,483 for Week 15;
$39,996 for Week 16;
$32,144 for Week 17;
$37,218 for Week 18;
$35,938 for Week 19;
$24,481 for Week 20;
$41,237 for Week 21;
$45,355 for Week 22;
$34,079 for Week 23;
$22,361 for Week 24;
$44,963 for Week 25; and
$37,553 for Week 26.
About Wouaff Wouff LLC
Wouaff Wouff LLC sought protection under Chapter 11 of the U.S.
Bankruptcy Code (Bankr. M.D. Fla. Case No. 8:22-bk-01595) on April
21, 2022. In the petition signed by Julian M. Mackenzie, managing
member, the Debtor disclosed up to $50,000 in assets and up to $500
million in liabilities.
Judge Caryl E. Delano oversees the case.
Marshall G. Reissman, Esq., at Reissman Law Group, P. A, is the
Debtor's counsel.
YELLOW CORP: Posts $60 Million Net Income in Second Quarter
-----------------------------------------------------------
Yellow Corporation filed with the Securities and Exchange
Commission its Quarterly Report on Form 10-Q disclosing net income
of $60 million on $1.42 billion of operating revenue for the three
months ended June 30, 2022, compared to a net loss of $9.4 million
on $1.31 billion of operating revenue for the three months ended
June 30, 2021.
For the six months ended June 30, 2022, the Company reported net
income of $32.5 million on $2.68 billion of operating revenue
compared to a net loss of $72.7 million on $2.51 billion of
operating revenue for the six months ended June 30, 2021.
As of June 30, 2022, the Company had $2.50 billion in total assets,
$892.1 million in total current liabilities, $1.48 billion in
long-term debt (less current portion), $84.3 million in pension and
postretirement, $95.9 million in operating lease liabilities,
$272.1 million in claims and other liabilities, and a total
shareholders' deficit of $324.1 million.
"Strong yield and efforts to manage the use of purchased
transportation helped Yellow achieve its highest quarterly
operating income in 15 years," said Darren Hawkins, chief executive
officer. "Elevated demand for LTL capacity continued during the
quarter which drove the favorable pricing environment. On the cost
side, purchased transportation expense was down to 14.5% of revenue
in the second quarter compared to 16% a year ago.
"We remain focused on integrating the four operating company
networks into a single LTL network with national coverage,
servicing regional and long-haul lanes. We expect to execute the
integration of phase one in the western U.S. this summer with the
transformation of the entire network to be completed around the end
of the year. When this transformation is completed, our customers
will benefit by interacting with North America's second largest
super-regional LTL network for both regional and long-haul
shipments. We expect the network transformation to also lead to
improved asset utilization, enhanced network efficiencies, cost
savings and create capacity without the need to add new terminals,"
Mr. Hawkins said.
"Primarily due to limited tractor and trailer production capacity
at the original equipment manufacturers, we are lowering our
capital expenditures guidance. For 2022, we expect our total
investments in capital expenditures to be in the range of $250
million to $300 million compared to the previous range of $325
million to $400 million," concluded Hawkins.
A full-text copy of the Form 10-Q is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/716006/000095017022014226/yell-20220630.htm
About Yellow Corporation
Yellow Corporation -- www.myyellow.com -- owns a comprehensive
logistics and less-than-truckload (LTL) network in North America
with local, regional, national, and international capabilities.
Through its teams of experienced service professionals, Yellow
Corporation offers flexible supply chain solutions, ensuring
customers can ship industrial, commercial, and retail goods with
confidence. Yellow Corporation, headquartered in Overland Park,
Kan., is the holding company for a portfolio of LTL brands
including Holland, New Penn, Reddaway, and YRC Freight, as well as
the logistics company HNRY Logistics.
Yellow Corp reported a net loss of $109.1 million for the year
ended Dec. 31, 2021, a net loss of $53.5 million for the year ended
Dec. 31, 2020, and a net loss of $104 million for the year ended
Dec. 31, 2019. As of March 31, 2022, the Company had $2.41 billion
in total assets, $846.2 million in total current liabilities, $1.48
billion in long-term debt (less current portion), $86.3 million in
pension and postretirement, $103.5 million in operating lease
liabilities, $274.5 million in claims and other liabilities, and a
total shareholders' deficit of $386.9 million.
[*] Carl Marks Advisors Announces Four New Hires, Promotion
-----------------------------------------------------------
Carl Marks Advisors, a leading investment bank providing financial
and operational advisory services to middle market companies, on
Aug. 4 announced four additions to its growing team and a
promotion. The expansion reflects the firm's commitment to
exceeding client expectations by building world-class teams and
attracting top talent despite a challenging labor market.
"The market downturn, rising inflation and the continued recovery
from a historic pandemic have had a profound, complex effect on
middle-market companies," said Evan Tomaskovic, Managing Partner of
Carl Marks Advisors. "Managing through these dynamics requires a
deft touch and firm resolve. The experienced teams we have built
and will continue to grow bring value and trusted guidance to help
our clients navigate the choppy waters ahead."
Paul Huettner, who joined the firm as a Vice President in 2019, has
been promoted to Director. His focus is on complex financial and
corporate restructurings, including bankruptcy. His experience
includes developing and executing business plans, working on
interim management teams, and handling strategic advisory roles.
The four new hires include:
Joshua Noble, Vice President
Joshua Noble has over six years of experience providing advisory
services to underperforming companies, with an emphasis on
financial and operational restructuring, liquidity management, and
corporate valuation. His background comprises both in- and
out-of-court engagements serving the entire spectrum of distressed
stakeholders.
Before joining Carl Marks Advisors, Mr. Noble worked as a Senior
Associate in Riveron's Restructuring and Turnaround Services (RTS)
practice. He advised clients across several of the firm's most
prominent verticals, including Aerospace, Defense, & Government
Contractors; Automotive & Industrials; and Engineering &
Construction.
Stephen Potts, Vice President
Stephen Potts is a skilled professional with over six years of
financial advisory experience focusing on lender and debtor side
engagements. He has significant experience with restructuring,
business valuations, liquidity management, developing and executing
business plans, and mergers and acquisitions.
Earlier in his career, Mr. Potts provided financial advisory
services as a Vice President at AlixPartners, a global consulting
firm.
Nick Baro, Associate
Nick Baro's financial services experience focuses on asset
management, IPO readiness, control auditing, and accounting
standards implementation. He has worked on financial advisory
assignments across a wide range of industries, including life
sciences, automotive, fintech, media, and real estate.
Previously, Mr. Baro worked at Crowe, LLP, in the Consulting (TMT)
group, where he engaged in accounting & financial reporting process
improvement, budgeting/forecasting, variance analysis, and purchase
price allocation. Prior, he worked in the Corporate Solutions group
at Jones Lang LaSalle.
Stephen Funnell, Associate
Stephen Funnell is a highly adept professional with many years of
experience working with stakeholders to provide financial advisory
services. His expertise spans a broad range of industries,
including manufacturing, retail, consumer products, and oil & gas
sectors, working with company owners, management teams, private
equity groups, lenders and investors.
Before joining Carl Marks Advisors, Mr. Funnell worked at Tiger
Group LLC, where he served as a Manager of Financial Analysis,
focusing on both lender and debtor side engagements, providing
effective solutions to distressed companies’ critical issues.
About Carl Marks Advisors
Carl Marks Advisory Group LLC (Carl Marks Advisors) is a New
York-based investment bank that provides financial and operational
advisory services. Our integrated client service teams unite
industry, operations, and transaction expertise to create effective
solutions in complex situations. Securities are offered through
Carl Marks Securities LLC, member FINRA and SIPC. Additional
information about Carl Marks Advisory Group LLC and Carl Marks
Securities LLC is available at http://www.carlmarksadvisors.com/
and http://www.carlmarkssecurities.com/
[*] July 2022 Commercial Chapter 11 Filings Dipped 13%
------------------------------------------------------
There were 212 commercial chapter 11 filings registered in July
2022, a decrease of 13 percent from the 245 filings in July 2021,
according to data provided by Epiq Bankruptcy, the leading provider
of U.S. bankruptcy filing data.
Overall commercial filings decreased eight percent in July 2022, as
the 1,592 filings were down from the 1,723 commercial filings
registered in July 2021. Small business filings, captured as
subchapter V elections within chapter 11, decreased three percent
to 104 in July 2022 from 107 in July 2021. Total bankruptcy filings
were 30,848 in July 2022, a five percent decline from the July 2021
total of 32,399. Noncommercial bankruptcy filings totaled 29,256 in
July 2022, also registering a five percent decrease from the July
2021 noncommercial total of 30,676.
"New bankruptcy filings slowed in July 2022, including chapter 13
cases which have been on a steady increase so far this year," says
Chris Kruse, senior vice president of Epiq Bankruptcy. "We continue
to monitor closely the impact of new variants of the COVID-19
virus, historically low unemployment rates, and fears of difficult
economic times ahead, which lead us to anticipate an increase in
bankruptcy filings as we exit the summer."
July 2022's commercial chapter 11 filings decreased 53 percent from
the 449 filings in June 2022. The commercial filing total
represented a 15 percent decrease from the June 2022 commercial
filing total of 1,878. Subchapter V elections within chapter 11
increased seven percent from the 97 filed in June 2022. July's
total bankruptcy filings represented a four percent decrease when
compared to the 32,182 total filings recorded the previous month.
Total noncommercial filings for July represented a three percent
decrease from the June 2022 noncommercial filing total of 30,305.
"In addition to global supply and inflation concerns, rising
interest rates pushing overall borrowing costs higher could leave
financially distressed consumers and businesses in a precarious
economic position," says ABI Executive Director Amy Quackenboss.
"Bankruptcy provides refuge for struggling families and businesses
looking to establish a financial fresh start."
ABI has partnered with Epiq Bankruptcy to provide the most current
bankruptcy filing data for analysts, researchers, and members of
the news media. Epiq Bankruptcy is the leading provider of data,
technology, and services for companies operating in the business of
bankruptcy. Its new Bankruptcy Analytics subscription service
provides on-demand access to the industry's most dynamic bankruptcy
data, updated daily. Learn more at
https://bankruptcy.epiqglobal.com/analytics
[*] Justin Hoffman Joins Winston & Strawn as Partner
----------------------------------------------------
Winston & Strawn LLP on Aug. 1 disclosed that Justin F. Hoffman has
joined the firm as a partner in the Houston office. Justin is a
member of the firm's Transactions Department and focuses his
practice on corporate finance, M&A transactions, and governance and
compliance matters.
Mr. Hoffman regularly advises clients on public and private capital
markets transactions, acquisition financing, and special situations
and Chapter 11 proceedings. He has significant experience in
high-yield and convertible debt securities and has led billions of
dollars of bond transactions for both issuers and underwriters,
including some of the largest energy players in Texas and the
Southeast. He has also represented clients in mergers and
acquisitions, including both public– and private-company
transactions.
"Winston & Strawn is a highly respected firm with a strong culture
of collaboration and experience in corporate transactions," said
Justin. "I have worked alongside Winston attorneys for years and
look forward to delivering value as we help clients navigate the
complexities of the current market."
"Houston today is an international hub for increasingly large M&A
deals and strategic acquisitions," said Mike Blankenship, Houston
office managing partner. "Justin's talent for structuring intricate
agreements for some of the largest corporations in the world will
serve Winston well as we continue to attract clients in the energy
sector."
In addition to the energy sector, Mr. Hoffman provides legal
counsel to clients in the financial services industry as well as
public and private companies, underwriters, and investors in the
technology, media, and telecommunications (TMT) sector.
"Winston is committed to bringing top-tier talent like Justin to
increase our capabilities and help clients navigate a changing
landscape," said Winston Chairman Tom Fitzgerald. "Any potential
market downturn is expected to have a significant impact on the
complexity and nature of corporate transactions."
Winston & Strawn LLP -- http://www.winston.com/-- is an
international law firm with 16 offices in North America, South
America, Asia, and Europe.
[*] Lobel Gets Orange County Business Journal Award Nomination
--------------------------------------------------------------
Distressed Capital Resources LLC founder and president William
"Bill" Lobel has been nominated for the Orange County Business
Journal's Innovator of the Year Award. This award recognizes Orange
County business leaders who are creating game-changing ideas,
processes, products, services, and business models.
"I am honored to be nominated for my efforts to help business
owners navigate distressed finances," said Lobel. "It is more
important than ever for the business community to embrace
innovation in these uncertain economic times, and I am proud to be
recognized for the essential work of ensuring businesses avoid
financial and reputational damage."
For more than 30 years, Lobel has helped owners of real estate and
businesses in financial distress avoid or successfully emerge from
chapter 11 bankruptcy. He launched Distressed Capital Resources
earlier this year to bring together a wide variety of advisers and
providers of funds and services who can help clients save their
businesses, keeping the doors open and preserving jobs and economic
activity.
A leading bankruptcy attorney on the national stage for decades,
Lobel is well-acquainted with the financial needs of a variety of
industries. A founder of the California Bankruptcy Forum, Lobel is
a Fellow of the American College of Bankruptcy. His legal work has
been recognized with awards from Best Lawyers, Super Lawyers,
Martindale Hubbell, Lawdragon and Chambers USA.
The Orange County Business Journal's Innovator of the Year Awards
celebrate business leaders who are at the forefront of innovation
in Orange County. Nominees are chosen from online submissions based
on their professional achievements and their contributions to their
community and industry. The awards will be presented at a special
luncheon and ceremony on Sept. 8, 2022 at the Irvine Marriott.
About Distressed Capital Resources
Distressed Capital Resources, LLC was created to offer owners of
businesses and real estate in financial distress an alternative to
bankruptcy. Founded by experienced bankruptcy attorney William
"Bill" Lobel, Distressed Capital Resources helps clients evaluate
their situations and identify the experts and sources of funding
that can help them overcome their business challenges, from
renegotiating leases to securing new financing to restructuring
existing debt. Its end goal is to preserve its clients' reputations
and their hard-earned assets. To learn more, visit
http://www.distressedcapitalresources.com/
[*] Matthew Biben Joins King & Spalding's NY Office as Partner
--------------------------------------------------------------
Matthew Biben, a leading litigator who focuses on banking,
regulatory and enforcement matters, has joined King & Spalding as a
partner in its New York office. Mr. Biben was most recently a
partner at Gibson, Dunn & Crutcher, where he was Co-Chair of its
Financial Institutions Practice Group.
Mr. Biben represents individuals, financial institutions and
FinTech companies in a broad array of civil disputes, securities
and bankruptcy litigation, and complex matters involving
regulators. He regularly handles internal, domestic and
international investigations and acts as counsel in litigated
disputes with government agencies, including the Department of
Justice (DOJ), Securities and Exchange Commission (SEC), Federal
Reserve Board (FRB), Office of the Comptroller of the Currency
(OCC), New York State Department of Financial Services (NYDFS),
State Attorneys General and various foreign regulators.
"Matt has built a stellar career, with experience at the upper
echelons of government, the world's largest banks and private
practice, making him an outstanding addition to our team," said
Andy Bayman, head of the firm's Trial and Global Disputes practice
group. "Matt's diverse litigation practice, in-depth understanding
of the banking and regulatory environment, commercial acumen and
legal prowess offer clients outstanding counsel and successful
resolutions to their most critical issues."
Prior to joining Gibson Dunn, Mr. Biben was a partner and co-lead
of the Banking Industry Group at Debevoise & Plimpton. He was
previously General Counsel for JPMorgan Chase Consumer & Community
Banking and Deputy General Counsel and Global Head of Litigation at
The Bank of New York Mellon. Before this, Biben served in the U.S.
Attorney's Office for the Southern District of New York as an
Assistant U.S. Attorney in the Criminal Division and was an
Assistant District Attorney in the New York County District
Attorney's Office.
"King & Spalding has tremendously impressive disputes and
regulatory practices with a prominent emphasis on financial
institutions, and this aligns perfectly with my background," Biben
added. "The firm was an obvious choice of platform for me. I look
forward to joining the team and contributing to the firm's
litigation prowess and strength in the financial institutions
sector."
Mr. Biben is a Benchmark Litigation "Litigation Star" and is
recommended nationally by Chambers USA and The Legal 500 US.
Mr. Biben received his undergraduate degree from Cornell
University, where he is now a Trustee. He earned his J.D. from
University of Pennsylvania Law School, where he now sits on the
Board of Advisors and has served as an Adjunct Professor of Law for
the last 28 years, teaching seminars in legal philosophy, federal
crime, and corporate law and governance.
Mr. Biben is a member of the Board of Directors of the American
Arbitration Association and is an active member of the New York
legal community, serving as a commissioner on the State of New York
Commission on Judicial Nomination and sitting on the boards of the
New York Legal Assistance Group, the New York Lawyers for the
Public Interest, and the New York Law Journal's Board of Editors.
About King & Spalding
Celebrating more than 130 years of service, King & Spalding --
http://www.kslaw.com-- is an international law firm that
represents a broad array of clients, including half of the Fortune
Global 100, with 1,200 lawyers in 23 offices in the United States,
Europe, the Middle East and Asia. The firm has handled matters in
over 160 countries on six continents and is consistently recognized
for the results it obtains, uncompromising commitment to quality,
and dedication to understanding the business and culture of its
clients.
[*] Nathan Eisler Joins Greenberg Traurig's Finance Practice
------------------------------------------------------------
Global law firm Greenberg Traurig, LLP added Nathan M. Eisler as a
finance shareholder in its Westchester County office, continuing to
deepen the bench of the firm's Finance Practice. He joins Greenberg
Traurig from Luskin, Stern & Eisler LLP, where he was a co-founder
and partner.
Mr. Eisler represents major financial institutions in a variety of
finance transactions including real estate and other asset-based
loans. He also has a focus on lending against domestic and
international hedge fund and private equity fund interests and
works of fine art. His experience includes creditors' rights
enforcement, loan restructurings, workouts, and bankruptcy
proceedings. In addition to Westchester County, he plans to work in
the firm's New York City and Miami offices to better serve the
evolving needs of his clients domestically and internationally.
"This latest addition further complements our strategy of
attracting skilled practitioners who can benefit from the strength
of our platform and leverage those synergies to best serve clients
across industries," Greenberg Traurig Executive Chairman Richard A.
Rosenbaum said. "It also validates our strategy of locating offices
closer to attorneys' homes and clients. Nate, whom I happen to know
personally as well as professionally, lives in Westchester and has
clients who will benefit from the firm's services in New York,
Miami, and throughout Latin America. Greenberg Traurig is a
world-class firm with a significant presence, not only in major
metropolitan cities like New York and Miami, but also in smaller
markets like White Plains, and that diversity of office locations
resonates now more than ever with both attorneys and clients."
With Mr. Eisler's arrival, the firm has added 35 finance
shareholders and of counsels nationwide over the past 12 months,
including two other recent Westchester County arrivals: Real Estate
Finance Shareholders Michael A. Moser and Jarrid King, both of whom
joined the Westchester office in April from Winston & Strawn. They
joined with the former head of Winston's global real estate
practice, Shareholder Corey A. Tessler, who divides his time
between the firm's New York and Bridgehampton, Long Island offices,
and three other real estate finance attorneys.
"Greenberg Traurig's strength across practice areas from real
estate to corporate and Latin America offers tremendous synergies
with the diversity of my practice," Eisler said. "I am confident
that the firm's global resources, coupled with its collaborative
culture, will allow me to meet the needs of my clients efficiently
and effectively and ultimately help me to grow my practice."
"Nate has a wealth of experience in real estate finance and
specialty lending, and his client base is a perfect fit for
Greenberg Traurig's global platform," said Westchester County
office Managing Shareholder Thomas Leslie. "Nate also brings deep
experience in loan restructurings and financial workouts, further
strengthening the finance capabilities of our group in anticipation
of the economy's expected shift in the months ahead. Wherever the
market goes, Greenberg Traurig will be well-positioned to represent
clients in multiple types of sophisticated lending transactions
worldwide."
Mr. Eisler, who is fluent in Spanish, regularly represents lenders
in financing transactions across a variety of asset classes and
jurisdictions, ranging from the United States to Latin America and
Europe. His clients include some of the largest financial
institutions in the U.S. He is consistently recognized by Super
Lawyers and Best Lawyers in America.
Mr. Eisler earned his J.D. from Cardozo School of Law and his B.A.
from Oberlin College. He is admitted to practice law in New York
and Florida.
About Greenberg Traurig
Greenberg Traurig, LLP -- http://www.gtlaw.com/-- has more than
2500 attorneys in 43 locations in the United States, Europe, Latin
America, Asia, and the Middle East. The firm reported gross revenue
of over $2 Billion for FY 2021 and is consistently among the top
firms on the Am Law 100, Am Law Global 100, and NLJ 250. On the
debut 2022 Law360 Pulse Leaderboard, it is a Top 15 firm. Greenberg
Traurig is Mansfield Rule 4.0 Certified Plus by The Diversity Lab
and the Center for Resource Solutions Green-e(R) Energy program
certifies that the firm's U.S. offices are 100% powered by
renewable energy. The firm is often recognized for its focus on
philanthropic giving, innovation, diversity, and pro bono.
[*] Teri Stratton Joins Hilco's Restructuring Practice
------------------------------------------------------
Hilco Corporate Finance on Aug. 2, 2022, announced the addition of
Teri Stratton to the Hilco Corporate Finance team. Ms. Stratton
will serve as Senior Managing Director in Corporate Finance and the
National Practice Leader of Special Situations.
Ms. Stratton is a nationally prominent investment banker and
restructuring advisor. She joins the Hilco Corporate Finance team
to lead the growth of the special situations and restructuring
practice. Ms. Stratton will be based in Los Angeles.
"We're thrilled to welcome Teri to the HCF team," said Geoffrey
Frankel, CEO and Senior Managing Director of Hilco Corporate
Finance. "Teri is a recognized leader in the special situations and
restructuring practice. She has a clear vision to scale up HCF's
special situations practice to meet the needs of our expanding
client base."
Ms. Stratton has over two decades of experience in advising on
distressed sell-side and buy-side mergers and acquisitions
transactions, recapitalizations, and restructuring transactions to
middle market companies across many industries, including consumer,
energy, and industrials. Before joining Hilco, she worked for Piper
Sandler and Macquarie Capital Advisors (and predecessor firms).
Prior to her investment banking career, she had eight years'
experience in corporate banking, serving in both credit
administration and special assets. Ms. Stratton received a
bachelor's degree in economics from the University of California at
Los Angeles as well as a Master of Business Administration degree
in finance, with honors, from the Anderson School at UCLA. She is a
Certified Insolvency and Restructuring Advisor, a board member of
the Turnaround Management Association, and a member of the
Association of Insolvency and Restructuring Advisors and the
American Bankruptcy Institute. Ms. Stratton speaks regularly on
various M&A and Restructuring topics.
About Hilco Corporate Finance:
Hilco Corporate Finance, LLC is a registered broker/dealer with the
Securities and Exchange Commission and a member of FINRA
(www.finra.com) and SIPC (www.sipc.org). Hilco Corporate Finance
specializes in merger and acquisition advisory service, private
capital markets, and special situations and restructuring advisory.
Hilco Corporate Finance is the investment banking affiliate of
Hilco Global.
Hilco Global operates as a holding company comprised of over twenty
specialized business and has nearly four decades of successfully
acting as an advisor, agent, investor and/or principal in
transactions.
[*] Top-Tier Restructuring Team Joins Dechert LLP
-------------------------------------------------
Dechert LLP on Aug. 2 announced the lateral acquisition of a
top-tier restructuring team, consisting of partners Doug Mannal and
Stephen Zide. They will be the sixth and seventh partners to join
the global financial restructuring practice in the past three years
and are key hires in the strategic growth of the firm's New York
offering.
Mr. Mannal and Mr. Zide have practiced together for more than 15
years and are both recognized by Chambers USA as leading lawyers in
corporate restructuring and bankruptcy.
Mr. Mannal often represents official unsecured creditors'
committees and ad hoc creditor groups in Chapter 11 cases. His
recent unsecured creditor representations include the official
unsecured creditors' committees in Gulfport Energy Corp., Frontier
Communications, California Resources, RAIT, Seadrill, CHC and
Bristow Helicopters.
In addition, Mr. Mannal regularly advises and represents a diverse
range of creditors in distressed situations, including major
secured and unsecured creditors, indenture trustees and financial
institutions in Chapter 11 bankruptcy cases and out-of-court
restructurings. Recent representations include significant
stakeholders in Alpha Media, McClatchy Newspapers, Neiman Marcus
and Nine West. Mr. Mannal clerked for the Honorable Conrad B.
Duberstein of the U.S. Bankruptcy Court for the Eastern District of
New York after receiving his J.D. from Brooklyn Law School and a
B.A. from Lafayette College.
Mr. Zide will be joining Dechert with over 15 years' experience
representing a diverse range of clients in many of the largest and
most complex chapter 11 bankruptcies and out-of-court
restructurings. His clients include official and ad hoc creditor
committees, debtors, and strategic buyers - including, most
recently, creditor groups in the bankruptcies of Valaris, Noble,
Payless, Westmoreland, Peabody, Revel and Eastman Kodak and
official committees in the bankruptcies of Gulfport Energy Corp.,
RAIT Funding, Toy R Us, NII and Rescap.
Mr. Zide focuses on advising clients with respect to complex
capital structures and has extensive experience representing
clients in negotiating DIP financings, equity commitment agreements
and rights offerings. He is also a lecturer on restructuring and
bankruptcy topics and has authored numerous articles at American
Bankruptcy Institute Journal and the Norton Journal of Bankruptcy
Law and Practice. He clerked for the Honorable Jerome Feller of the
U.S. Bankruptcy Court for the Eastern District of New York, after
receiving his J.D. from Brooklyn Law School and a B.A. from Queens
College, New York.
Andrew Levander, chairman of Dechert, stated, "We are excited to
welcome Doug and Stephen to the team as we continue to expand our
highly ranked global restructuring practice and meet our clients'
growing needs."
Allan Brilliant, co-chair of Dechert's global financial
restructuring practice, added, "Doug and Stephen's considerable
corporate restructuring experience will enhance our team's
capabilities and offerings to clients in the U.S. and overseas."
Mr. Zide commented, "This is an exciting time to be joining
Dechert's leading financial restructuring group, and I look forward
to working with the innovative and collaborative cross-practice,
cross-border team to help clients solve their most complex
restructuring issues."
Mr. Mannal added, "We look forward to building on Dechert's global
platform, strong finance practice and stellar reputation as legal
advisor to top-tier asset managers."
Dechert's financial restructuring practice is known globally for
handling high-profile cross-border restructuring and insolvency
matters, innovative deal structuring and achieving court victories
across jurisdictions. Dechert is recognized by Global Restructuring
Review, Chambers and The Legal 500 as having one of the leading
restructuring groups in the world.
About Dechert
Dechert is a global law firm with 22 offices around the world. The
firm advises on matters and transactions of the greatest
complexity, bringing energy, creativity, and efficient management
of legal issues to deliver commercial and practical advice for
clients.
[*] With Diocese Bankruptcies, Insurers Fight Rising Abuse Claims
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Soma Biswas of The Wall Street Journal reports that insurers are
fighting against sex-abuse victims' demands for more compensation
in the bankruptcies of several large Catholic dioceses, as both the
number of claimants and the proposed payouts have grown.
The standoff is slowing the dioceses' efforts to emerge from
chapter 11. Historically, most settlements in such bankruptcies
have received support from the diocese, its insurers and abuse
victims, said lawyer Jason Amala, who has represented victims of
childhood sex abuse in cases involving the Catholic Church and the
Boy Scouts of America, among others.
More victims have come forward after New York, New Jersey and other
states relaxed rules on abuse suits, and they are seeking bigger
settlements, leading to tensions between insurers on one side and
their diocese clients and claimants on the other.
*********
Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par. Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable. Those sources may not,
however, be complete or accurate. The Monday Bond Pricing table
is compiled on the Friday prior to publication. Prices reported
are not intended to reflect actual trades. Prices for actual
trades are probably different. Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind. It is likely that some entity
affiliated with a TCR editor holds some position in the issuers
public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than $3 per
share in public markets. At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
On Thursdays, the TCR delivers a list of recently filed
Chapter 11 cases involving less than $1,000,000 in assets and
liabilities delivered to nation's bankruptcy courts. The list
includes links to freely downloadable images of these small-dollar
petitions in Acrobat PDF format.
Each Friday's edition of the TCR includes a review about a book of
interest to troubled company professionals. All titles are
available at your local bookstore or through Amazon.com. Go to
http://www.bankrupt.com/books/to order any title today.
Monthly Operating Reports are summarized in every Saturday edition
of the TCR.
The Sunday TCR delivers securitization rating news from the week
then-ending.
TCR subscribers have free access to our on-line news archive.
Point your Web browser to http://TCRresources.bankrupt.com/and use
the e-mail address to which your TCR is delivered to login.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter is a daily newsletter co-published
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Randy Antoni, Jhonas Dampog, Marites Claro, Joy Agravante,
Rousel Elaine Tumanda, Joel Anthony G. Lopez, Psyche A. Castillon,
Ivy B. Magdadaro, Carlo Fernandez, Christopher G. Patalinghug, and
Peter A. Chapman, Editors.
Copyright 2022. All rights reserved. ISSN: 1520-9474.
This material is copyrighted and any commercial use, resale or
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*** End of Transmission ***