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Kodak Said to Face Pressure From Bondholders on Patent Sale

Avenue Capital Group and Blackstone Group LP’s GSO Capital Partners LP unit are among investors that own debt in Eastman Kodak Co. and are seeking to profit from a potential sale of its digital-imaging patents, said people with knowledge of the matter.

The creditors hold second-lien debt backed by Kodak’s patent portfolio and want the company to use cash from an asset sale to pay bondholders before pouring proceeds back into money-losing operations, said the people, who asked not to be named because the talks are private. Fidelity Investments and P. Schoenfeld Asset Management LP also hold Kodak second-lien debt, the people said. The stock fell 12 percent today.