 | | Featured Premium Content | | | | | ABI Journal: Depositors’ Troubles in Nonbank Cases
Bankruptcy professionals traditionally consider the employees, executives, creditors and owners of debtors in corporate insolvency cases. However, the Synapse Financial Technologies Inc. bankruptcy highlights the vulnerability of consumer depositors in cases of nonbank corporate insolvencies, according to a recent ABI Journal analysis. READ MORE | | | | | SPONSORED CONTENTPrivate Credit and BSLs: Friends or Foes?With private credit and broadly syndicated loans (BSLs) competing for dominance, the lending landscape is in flux. But can these markets ultimately work hand in hand? SRS Acquiom, in partnership with Debtwire, surveyed 200 senior executives from alternative asset management firms across Europe and the U.S. to uncover the true dynamics of these two critical markets. Download the Report | | |  | | Editor's Picks | | | | | New Orleans Archdiocese, Abuse Survivors Work Toward Settlement as Mediator Is Reappointed
The federal judge overseeing the Archdiocese of New Orleans’ long-running bankruptcy case has extended the appointment of one of three mediators, after attorneys signaled that negotiations are progressing ahead of a series of high-stakes settlement talks set for next month, NOLA.com reported. At a hearing on Thursday, U.S. Bankruptcy Judge Meredith Grabill extended Baton Rouge-based mediator John Perry’s yearlong appointment, which was set to expire at the end of March, for another 60 days. READ MORE | | DNA Testing Firm 23andMe Files for Bankruptcy to Sell Itself; CEO Leaves After Failed Bids
23andMe on Sunday filed for bankruptcy in the U.S. after struggling with the fallout of a data breach and weak demand for its ancestry testing kits, Reuters reported. In 2021, billionaire Richard Branson's SPAC took 23andMe public at a $3.5 billion valuation. AncestryDNA, which offers similar tests, was also bought by Blackstone Group that same year, despite slowing sales for both the genetic testing companies. A five-month-long data breach in 2023 that exposed personal data of nearly 7 million customers, dealt a major blow to 23andMe's reputation. Late last year, it laid off 200 employees and stopped development of all therapies. READ MORE | | Kiromic BioPharma Files for Chapter 7 Bankruptcy
Kiromic BioPharma said it has filed for chapter 7 bankruptcy in the U.S. Bankruptcy Court for the district of Delaware, Dow Jones Newswires reported. In a filing to the Securities and Exchange Commission, the company said that a chapter 7 trustee will be appointed by the bankruptcy court, and will administer the company's bankruptcy estate, including possibly liquidating its assets. READ MORE
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April 24-26 | Washington, D.C. | | | | |  | | Daily Roundup | | | | | Northvolt's Bankruptcy Trustee Hopeful on Business Continuation
Northvolt's bankruptcy trustee said on Friday it had made "significant" progress in negotiating the continuation of operation of the electric vehicle battery maker, while talks with potential buyers proceed, Reuters reported. The Swedish company filed for bankruptcy in Sweden on March 12, marking one of the country's largest corporate failures and effectively ending Europe's best hope of developing a rival to challenge China. At the time of the bankruptcy filing, Northvolt said its battery factory in Northern Sweden would continue to run in the short-term, but it would be up to the court-appointed bankruptcy trustee to decide if production would close down during negotiations of its future. READ MORE | | Exactech Reaches $10M Deal with TPG as Bankruptcy Battle Intensifies
Medical implant maker Exactech has struck a $10 million settlement with its equity sponsor, private equity giant TPG, just days before seeking approval to move forward with its chapter 11 restructuring plan, the USA Herald reported. The agreement, revealed in Delaware bankruptcy court on Friday, comes amid mounting tensions with unsecured creditors, who argue that they need more time to assess its impact before a pivotal hearing next week. READ MORE | | Trump Shifts Student Loans, Other Programs Among Agencies
President Donald Trump said that some key functions of the Education Department, which he is moving to dramatically shrink, would be handled by the Small Business Administration and Department of Health and Human Services, Bloomberg News reported. The move comes amid worries that his efforts to overhaul the federal government could reduce programs and services. Trump said that the Education Department’s $1.6 trillion student-loan portfolio would now be handled by the SBA, while HHS will take responsibility for programs that benefit students with disabilities. The SBA is headed by Kelly Loeffler, while the federal health department is run by Robert F. Kennedy Jr. READ MORE | | Syndicator Bank Faces Class Action After Allegedly Downplaying Default Risk
A bank that financed the value-add plans of Sun Belt syndicators faces allegations it failed to disclose the default risk of bridge loans it made to those green operators, many of whom are struggling to hold on to their failing deals, TheRealDeal.com reported. Shareholders served the lender — The Bancorp — with a class action weeks after it told investors that two years of financial reporting “should not be relied upon,” according to the complaint. READ MORE | | Cryptocurrency Firm Founder Pleads Guilty in U.S. to Market Manipulation Scheme
The founder of a cryptocurrency financial services firm pleaded guilty on Friday to U.S. charges that he participated in a wide-ranging scheme to manipulate the market for digital tokens on behalf of client companies, Reuters reported. Aleksei Andriunin, the founder and CEO of cryptocurrency "market maker" Gotbit, and his company entered guilty pleas in federal court in Boston to charges that they conspired to commit market manipulation and committed wire fraud. READ MORE | | SEC Holds Crypto Task Force Roundtable as Trump Plans Regulatory Revamp
The U.S. Securities and Exchange Commission's crypto task force held its first public meeting with experts on Friday, focusing on how securities laws might apply to digital assets as the Trump administration looks to overhaul cryptocurrency regulations, Reuters reported. Among the participants of the roundtable were John Reed Stark, former chief of the SEC's Office of Internet Enforcement, Miles Jennings, the general counsel for Andreessen Horowitz's crypto arm, a16z, and former SEC Commissioner Troy Paredes. Republican SEC Commissioner Hester Peirce is leading the task force, which is charged with developing rules and guidance for crypto. READ MORE | | | | |
