Chem Rx's $70M Sale To PharMerica Gets Green Light

Law360, New York (November 2, 2010, 6:54 PM EDT) -- A bankruptcy judge on Tuesday approved the $70 million sale of Chem Rx Corp. to PharMerica Corp., but forbid the debtors from immediately handing over the proceeds to first-lien lenders at the behest of unsecured creditors.

Judge Mary F. Walrath of the U.S. Bankruptcy Court for the District of Delaware signed off on the deal, ordering that the sale proceeds would remain in escrow until the resolution of an adversary proceeding lodged by the official committee of unsecured creditors.

The committee’s suit challenges the validity and...
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