Gun maker Colt Defense LLC is poised to exit bankruptcy after tweaking its chapter 11 exit plan to account for a reduced equity commitment from private-equity owner Sciens Capital Management, the Wall Street Journal reported today. Sciens missed a December deadline to fund $15 million of the cost of bailing its longtime portfolio company out of bankruptcy. Friday, Sciens came up with $5 million, and other creditors agreed to give the private-equity firm until early February to find the rest of the money. Meanwhile, however, Colt wanted $50 million to implement its restructuring plan, money that would be used to pay lawyers and advisers and to get the troubled firearms manufacturer on its feet financially. Bondholders came through with an additional $10 million to make sure the company emerges on time. At a hearing Monday in the U.S. Bankruptcy Court in Wilmington, Del., Judge Laurie Selber Silverstein approved changes to the chapter 11 plan she confirmed last month. Approval came after the judge hesitated over endorsing provisions of the plan that shield Sciens from litigation over how it has handled Colt.
