Elliott Tells Court It Was Barred from Seeking Oncor Financing
An attorney for Elliott Management yesterday complained to a bankruptcy court judge that the owner of Texas's largest power distribution business did not provide the investment fund with information needed to line up financing for its offer of more than $18 billion to buy the company, Reuters reported. Instead, Energy Future Holdings Corp., the bankrupt majority owner of Oncor Electric Delivery Co., struck a deal this month to sell its ownership of the business to Warren Buffett's Berkshire Hathaway Inc. for $9 billion in cash, valuing the company at $18.1 billion. A lawyer for Elliott Management, which spent years battling Argentina over its defaulted debt, told the court that the fund has enough debt in Oncor's parent, Energy Future, to block the Berkshire deal. The fund has argued that its own $18.5 billion Oncor deal would be better for creditors. Read more.
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