Savient Creditors Lose Bid To Block Debt Exchange

Law360, Wilmington (May 8, 2012, 2:57 PM EDT) -- A Delaware judge cleared Savient Pharmaceuticals Inc. to refinance its debt on Monday, rejecting an attempt by the drugmaker's largest creditor to halt the deal over allegations of mismanagement and insolvency.

According to papers filed in Delaware Chancery Court, Vice Chancellor Sam Glasscock denied Tang Capital Partners LP's request for a temporary restraining order against the debt exchange, which will raise $44 million in cash and stretch the maturity of half of Savient's $259 million in debt by 15 months.

San Diego-based Tang Capital, which holds...
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