KKR & Co., TPG Capital and Goldman Sachs Capital Partners, the firms that acquired Energy Future Holdings Corp. in the biggest-ever leveraged buyout, would be all but wiped out in a reorganization plan being discussed, Bloomberg News reported yesterday. The firms may accept as little as 1 percent of the equity in the company after it completes a chapter 11 restructuring. The pre-bankruptcy plan is being negotiated by the private-equity owners, the company’s management and holders of the power producer’s $45.6 billion of debt. Energy Future is hashing out a proposal that would reduce the amount of time it takes to restructure in chapter 11 and limit the chaos of a free-for-all filing. Fidelity Investments, which is a key debtholder throughout the Dallas-based company’s capital structure and had been a holdout on the bankruptcy road map, moved closer last week to an accord.
