Platinum Equity’s Acquisition of Delphi Steering Approved by U.S. Bankruptcy Court
Steering Solutions Corp., an affiliate of global M&A firm Platinum Equity, has been given approval by the U.S. Bankruptcy Court for the Southern District of New York to acquire Delphi’s global steering and halfshaft business. The ruling clears the way for completion of the transaction as soon as all regulatory approvals have been received. The sale includes all facets of the $2.7 billion global steering and halfshaft business, which produces electric and hydraulic steering systems, steering columns, halfshafts and constant velocity joints for original equipment manufacturers around the world.
Delphi Cuts CEO Bonus for Bankruptcy Exit
Delphi Corp. has cut the cash bonus it had planned to give its chief executive when the company exits bankruptcy by more than $4 million. In a filing Tuesday with the Securities and Exchange Commission, the parts supplier said CEO Rodney O’Neal is slated to receive a $1 million bonus, down from $5.3 million. The cut follows an order from U.S. Bankruptcy Judge Robert Drain for Delphi to reduce the $80 million in cash bonuses it planned to give top executives to $16.5 million.
Delphi Bankruptcy Exit in Jeopardy
A plan by auto parts supplier Delphi Corp. to exit bankruptcy by the end of next month is in jeopardy as it struggles to get $6.1 billion in loans in the tight credit market. If the company does not secure the exit financing it needs by the end of March, equity investors led by hedge fund Appaloosa Management LP could abandon a deal to invest as much as $2.55 billion. The deal is crucial to Delphi’s ability to emerge from Chapter 11 protection.
Holley Performance Products Files Bankruptcy
Holley Performance Products Inc., a century-old maker of specialty parts for stock-car and drag-racing, filed for bankruptcy, faulting a late 1990s expansion for saddling the company with too much debt. Closely held Holley would be taken over by noteholders owed as much as $145.8 million, according to an outline of a reorganization plan filed today in U.S. Bankruptcy Court in Wilmington, DE. The company, based in Bowling Green, KY, listed debts of $243 million and assets of $106 million as of Jan. 28.
Chrysler Supplier Files for Bankruptcy
From Xinhua Financial News AUBURN HILLS, MI — Chrysler LLC scrambled to maintain its inventory of plastic parts after one of its biggest suppliers, Plastech Engineered Products, filed for bankruptcy protection. Plastech apparently failed to negotiate a bailout package with its customers, The Wall Street Journal reported Friday. Dearborn, MI-based Plastech agreed to supply Chrysler
Delphi’s Plan of Reorganization Confirmed by Bankruptcy Court
The judge handling Delphi Corp.’s Chapter 11 case has entered an order confirming the company’s First Amended Joint Plan of Reorganization. The court ruled that Delphi had met all of the statutory requirements to confirm its plan. Delphi plans to emerge this quarter following the syndication and closing of approximately $6.1 billon of exit financing facilities and the satisfaction of other conditions.
Creditors OK Delphi’s Bankruptcy Plan
Delphi Corp. said Thursday it has won approval from creditors for its plan to emerge from Chapter 11 bankruptcy protection.The Troy, MI-based company is seeking a federal judge’s approval of the plan in a two-day hearing in New York scheduled to begin Thursday. Delphi says 81 percent of about 4,000 eligible creditors who voted on the plan have endorsed it.
Bankruptcy Court Confirms Dana’s Plan of Reorganization, Company to Emerge from Chapter 11 in January
The judge handling Dana Corp.’s Chapter 11 case has signed an order confirming the company’s Plan of Reorganization. The action paves the way for Dana’s emergence from Chapter 11 reorganization, which it expects to occur in January 2008, after the closing of the company’s $2 billion exit financing facility and satisfaction of other customary closing conditions. Dana entered Chapter 11 reorganization on March 3, 2006.
Bankruptcy Court Asks Dana to Submit Order Confirming Plan of Reorganization
During a confirmation hearing yesterday for Dana Corp.’s Chapter 11 case, the judge handling the case ruled that that all Chapter 11 requirements for confirmation of the company’s Plan of Reorganization have been satisfied. Dana is expected to submit its order of confirmation by Dec. 21 and will be positioned to emerge from bankruptcy by the end of January 2008.
Delphi Can Begin Bankruptcy Vote Process
Delphi Corp. can begin soliciting votes for its plan to exit bankruptcy, the company’s lawyer said on Friday, a major step toward letting the auto parts maker proceed with a restructuring that would shed thousands of jobs in plants across the country. Delphi attorney Jack Butler said bankruptcy judge Robert Drain verbally approved the order on Friday and that if all changes the judge requested meet his requirements, he would enter an order today. Delphi’s reorganization plan includes shrinking its unionized work force to a fraction of its former size and shifting manufacturing overseas.