Puerto Rico is struggling with a $72 billion debt and is seeking for a Chapter 9 bankruptcy. It is unclear why the said country is excluded and will not be able to take advantage of it to protect it from creditors and restructure its debts. Only Congress can make a bankruptcy law.
At a time when creditors of crisis-hit Puerto Rico are gearing up for negotiations on restructuring the Island's debt in smaller alliances, the group of hedge funds was believed to be split off. The hedge funds group comprising over 36 firms is holding a debt of $5.2billion of ailing Puerto Rico. According to unconfirmed news, since Puerto Rico governor Alejandro Garcia Padilla said that government's debts were unsustainable, there's surfacing difference of opinion among hedge group members. In the latest development, a group of activists in the Island has started raising voice against the participation of Antonio Weiss in the restructuring plan negotiations as his connections with the Wall Street lead to a conflict of interest.
Private equity companies are buying the debt of the companies they own so they can become creditors and have a second shot at making money on their investments.
A column at the The New York Times' The Dealbook argued that money managers and investors should take responsibility for betting on bad investments and that it should be their utmost responsibility to do research, especially when investing other people's money.
After its creditors opposing the original auction process for the assets of LightSquared Inc, the new plan was approved by the bankruptcy court.
A draft bankruptcy plan is in the works for the city of Stockton and its bond creditors and other insurers.
Hedge funds that gambled on Lehman Brothers expected huge payouts as administrators finished recovering assets.
After unwinding the most complex bankruptcy case in history, Lehman Bros would be paying out full value to its European creditors.
The financing aspect of the leveraged buyout of Dell Inc by CEO Michael Dell and Silver Lake Partners was discussed for finalization.
The online payment service, PayPal, erroneously credited Chris Reynolds with US$92 quadrillion.
ERF Wireless, Inc. would receive US$1.5 million of debt financing under a new US$8.0 million revolving credit facility
Through rights offering with private investors, Greece's Piraeus Bank would be able to raise Euro 7.33 billion.
PricewaterhouseCooper, the administrators over the Lehman Brothers Europe post 2008, has announced the payout of a partial sum for unsecured creditors.
Polkomtel was able to arrange for new financing in order to reduce overall debt burden.
Hostess Brands' bid to sell its bread brands to Flowers Foods has hit a roadblock with unsecured creditors objecting to the break-up fees