- Topic: Distressed Investing
- ArticlePratt's Journal of Bankruptcy LawOctober 2017 (Originally Published July 25, 2017)
While many of lender's rights are self-explanatory, a question has arisen as to what it means to amend “pro rata” sharing requirements. Recently, an amendment to NYDJ Apparel, LLC’s credit agreement highlighted what a loan investor needs to look out for when reviewing protections related to pro rata sharing.
- ArticleCompanies Are Using Covenants to Restructure Their Capital Structure and Prime Existing Debt — What Lenders and Debt Investors Need to KnowACIC Private Notes / Harvard Law School Bankruptcy RoundtableMarch 2017
Before purchasing any debt, distressed investors need to be mindful of what unrestricted subsidiaries are and how they may impact the overall credit of a company or debt recoveries.
- ArticleLaw360February 14, 2017
Investments in “unrestricted subsidiaries” are an exception to investment covenants, which have been used in an attempt to provide flexibility in restructuring a company’s capital structure.
- Client AlertDecember 29, 2016
The New York Court of Appeals issued a decision holding that when two parties agree to the material terms of a sale, the parties have entered into a binding agreement, even though the sale remains subject to the execution of a written sales agreement.
- Client AlertPratt's Journal of Bankruptcy LawJuly/August 2014 (Originally Published May 22, 2014)
Pratt's Journal of Bankruptcy Law republished a Chapman Client Alert.
- Client AlertClient AlertMay 13, 2014
Two recent bankruptcy court decisions from the District of Delaware and Eastern District of Virginia raise serious concerns for secured lenders and purchasers of secured loans in the secondary market.
- Client AlertClient AlertFebruary 12, 2014
The right of a secured creditor to “credit bid” (i.e., to bid the amount of debt owed rather than cash) in a debtor’s sale of assets, once thought to be rock solid, is again under attack.
- Chapman InsightsChapman Insights, originally published in Bloomberg BriefSeptember 2013
The market for distressed investment opportunities in the U.S. has shrunk considerably over the last few years. As a result, U.S. hedge funds have looked to Europe, but they have been disappointed by the minimal and highly selective opportunities.