Pimco, Silver Point Lose Fight Over 2022 Incora Debt Package
- Tainted financing deal did not revoke all liens, judge rules
- JPMorgan, BlackRock among firms to regain liens via ruling
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Investors including Silver Point Capital and bond giant Pacific Investment Management Co. wrongly stripped collateral rights from other investors via a $250 million rescue financing for Platinum Equity-backed Incora, a judge ruled, handing a partial victory to rivals who sued over the deal.
US Bankruptcy Judge Marvin Isgur ruled that the 2022 deal for aerospace parts supplier Incora was not properly authorized, siding with disgruntled bondholders including JPMorgan Chase & Co., BlackRock Inc. and hedge fund King Street Capital Management. The ruling essentially restores their liens on Incora’s assets, improving their recovery prospects.