 | | Featured Premium Content | | | | | Debtwire Restructuring Profile: Hooters of America Lays Out Terms of New Deal with Lenders, Noteholders and Buyers
Hooters of America and various of its affiliates entered into a restructuring support agreement (RSA) on 31 March with (i) each creditor under the debtors’ term loan credit agreement and manager advance credit agreement (collectively, Prepetition Lenders) represented by Sidley Austin, (ii) an ad hoc noteholder group, represented by White & Case, which holds a “substantial majority” of the debtors’ two series of notes, and (iii) Hooters, Inc. and Hoot Owl Restaurants (together, the Buyer Group), according to a Debtwire report. Although the parties entered into the RSA before the bankruptcy filing, the debtors did not file the agreement until 2 April. READ MORE | | | | | SPONSORED CONTENTPredatory Uptiering: Three Steps to Protect Against Being Primed While uptiering disputes are not new, the loan market has seen an uptick in recent years. If not careful, lenders can lose their lien claim positions to a newer, senior lender. SRS Acquiom explains the primary mechanisms of predatory uptiering and identifies steps lenders can take to protect against it—all in one easy-to-reference page. GET THE INSIGHTS | | |  | | Editor's Picks | | | | | U.S. Judge Seizes Control of Bankruptcy Scandal Cases From Houston Court
A federal district judge took control of lawsuits pending in the Houston bankruptcy court surrounding the ethics scandal that forced its former chief bankruptcy judge, David R. Jones, to resign from the bench, WSJ Pro Bankruptcy reported. Chief Judge Alia Moses of the Western District of Texas withdrew from bankruptcy court a civil case filed by the Justice Department against Jackson Walker, the law firm where Jones’s long-term romantic partner, Elizabeth Freeman, worked for years on cases he oversaw without any disclosure of their relationship. The Justice Department’s Office of the U.S. Trustee had requested that Moses withdraw its case against Jackson Walker from bankruptcy court to avoid an appearance of impropriety. READ MORE | | Connecticut Supreme Court Declines to Hear Alex Jones' Appeal of $1.4 Billion Sandy Hook Verdict
The Connecticut Supreme Court has declined to hear conspiracy theorist Alex Jones' appeal in a defamation case that resulted in a $1.4 billion verdict against him for calling the Sandy Hook Elementary School shooting a hoax, WKYC.com reported. Jones asked the justices to review both the 2022 trial court verdict and a lower appeals court ruling in December that upheld most of the verdict. The Supreme Court turned down his request without explanation Tuesday. READ MORE | | Corporate Bankruptcies Rise to Highest Q1 Level Since 2010
Corporate bankruptcies among U.S. companies increased in the first quarter to their highest level since 2010, new data showed, FoxBusiness.com reported. S&P Global Market Intelligence reported that from January through the end of March, there were 188 bankruptcies filed among large U.S. companies, an increase from 139 bankruptcy filings in the first quarter of 2024, which was a 14-year high at the time. The 188 bankruptcies in the last three months are the most in the first quarter since 2010, when there were 254 bankruptcy filings as the economy reeled in the wake of the financial crisis. READ MORE
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May 12-14 | Cartagena, Colombia | | | | |  | | Daily Roundup | | | | | At Home Group, Stung by Trade War, Explores Bankruptcy
At Home Group is exploring a potential bankruptcy filing as the home-furnishings chain continues to struggle with generating sufficient earnings to meet its debt obligations, WSJ Pro Bankruptcy reported. The Plano, Texas-based company is also evaluating other debt restructuring options as an alternative to bankruptcy. At Home is negotiating with landlords and creditors about how to restructure roughly $2 billion of debt. READ MORE | | Lucid Motors Wins Bankruptcy Auction for Nikola’s Arizona Factory and Other Assets
EV startup Lucid Motors has emerged as a winner in the bankruptcy auction for electric trucking company Nikola’s Arizona factory and other assets, according a late Thursday night court filing, TechCrunch.com reported. Lucid committed around $30 million in cash and non-cash considerations in exchange for the factory, Nikola’s lease on its Phoenix headquarters, and “certain machinery, equipment and inventory,” according to the filing. READ MORE | | BaaS Fintech Solid Files for Chapter 11 Bankruptcy protection in the U.S.
Solid Financial Technologies, a Banking-as-a-Service (BaaS) infrastructure provider, has voluntarily filed for chapter 11 protection with the U.S. Bankruptcy Court for the District of Delaware, FintechFutures.com reported. Headquartered in California, Solid built an API-driven platform to help fintechs and software companies embed financial services, such as payments, banking services and card issuance, into their core propositions. According to a bankruptcy court filing dated April 9, the company has engaged Rock Creek Advisors to guide it through the chapter 11 process and evaluate restructuring and sale opportunities. READ MORE | | More Baltimore Conversions Face Foreclosure
An LLC controlled by Philadelphia-based PMC Property Group has defaulted on a $16.4 million loan to renovate 301 N. Charles St., MultiFamilyDive.com reported. PMC isn’t the only office-to-residential firm to face issues with downtown Baltimore projects. In March, CC 1400 Aliceanna Street LLC, an entity of Chasen Cos., filed for chapter 11 reorganization bankruptcy in U.S. Bankruptcy Court in Maryland. READ MORE | | Westward Whiskey Parent House Spirits Distillery Files for Bankruptcy
Distill Ventures-backed House Spirits Distillery, which trades under its Westward Whiskey brand’s name, has initiated bankruptcy proceedings to reorganize its business as it faces “liquidity challenges,” Drinks-Intel.com reported. The company filed for bankruptcy in Delaware last week under subchapter V. Founder & CEO Thomas Mooney is leading the restructuring effort, aiming to keep Westward Whiskey operating in the future while the distillery maintains normal operations. READ MORE | | | | |
