Walter Investment Management filed with the U.S. Bankruptcy Court an Amended Prepackaged Chapter 11 Plan of Reorganization.
According to documents filed with the Court, “On the Effective Date, holders of Senior Notes Claims will receive, in full and final satisfaction of their Allowed Senior Notes Claims, their Pro Rata share of (i) New Second Lien Notes, (ii) Mandatorily Convertible Preferred Stock, and (iii) 100% of the New Common Stock issued on the Effective Date, subject to dilution by shares of New Common Stock issuable on conversion of the Mandatorily Convertible Preferred Stock and shares of New Common Stock issued or issuable pursuant to the Management Incentive Plan and shares of New Common Stock issued after the Effective Date; provided that, if Class 6 (Convertible Notes Claims) is an Accepting Class, (a) 50% of the New Common Stock that would have otherwise been distributable to Class 5 pursuant to the terms set forth above, shall be distributed to holders of Convertible Notes Claims in accordance with Section 4.6(b) of the Plan, and (b) 50% of the New Common Stock that would have otherwise been distributable to Class 5, shall be distributed to holders of Existing Equity Interests in accordance with Section 4.9(b) of the Plan.”
The Debtors also filed with the Court a third Supplement to the Prepackaged Chapter 11 Plan. The Supplement contains the following documents: Exhibit A: notice of initial directors and officers of the reorganized Debtor, pursuant to Bankruptcy Code Section 1129; and Exhibit B: registration rights agreement.
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