The U.S. Bankruptcy Court approved Dextera Surgical’s motion to pay change in control severance benefits to certain executives.
As previously reported, “The Executive Severance Benefits sought to be paid pursuant to this Motion total $1,689,799.84….By allowing the Debtor to honor its severance obligations to the Executives, the Debtor will fairly compensate the Executives for their commitment to the Debtor, their hard work despite the changing business climate, and their contributions to the Debtor’s bankruptcy process. Moreover, the Debtor expects that the Executive Severance Benefits will otherwise be paid in full as allowed unsecured claims under the Debtor’s Chapter 11 plan.”
In addition, “The Executives contributed to the successful Sale process that culminated in the estate securing sufficient proceeds that are expected to pay all allowed claims in full. Consequently, the Debtor believes that it should compensate the Executives for their work both prior to and following the Petition Date in preserving the value of the Debtor’s assets and continuing the day-to-day operations of the Debtor during its Chapter 11 Case and in accordance with the commitment in the Change in Control Severance Benefits Plan.”
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