Chemtura Ch. 11 Plan OK'd Despite Equity Holder Beef

Law360, New York (October 22, 2010, 4:04 PM EDT) -- A federal judge has approved Chemtura Corp.’s reorganization plan, over the objections of the bankrupt company’s equity holders, who said the plan undervalued the chemical company.

Judge Robert E. Gerber of the U.S. Bankruptcy Court for the Southern District of New York on Thursday issued an 82-page order approving the plan, which seeks to pay back nearly all creditors in either cash or stock and would cut the company’s debt in half.

The equity holders’ committee had objected to Chemtura’s roughly $2 billion valuation of itself,...
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