Bankruptcy judge has ‘some problems’ with SunEdison exit plan

SunEdison presented in bankruptcy court this week a series of settlements that helped win its unsecured creditors’ approval of its exit plan.

However, U.S. Bankruptcy Judge Stuart Bernstein said he has “some problems” with the company’s chapter 11 exit plan and may not be able to confirm it.

One of the settlements unveiled in court Tuesday includes the surrender by SunEdison’s TerraForm yieldcos of $3 billion of unsecured claims against the company. A lawyer for the yieldcos said that the measure would have to be reviewed by the companies, according to the Wall Street Journal.

Other settlement terms include providing unsecured creditors with a larger share of litigation that may follow SunEdison’s bankruptcy exit and of a $32 million settlement against former leaders of the company.

A SunEdison lawyer told Bernstein that the company would present plan revisions that could address his concerns.

Read more: St. Louis Business Journal

Tags:, ,

Leave a Reply

Have you heard?

Missouri Business Alert is participating in CoMoGives2019!

Find out how we plan to use your gift to enhance training and programming for our students