Minority Debt Holders and Superpriority Exchanges

"A trend towards superpriority debt exchanges that has begun appearing in out-of-court restructurings will continue to cause worry amongst minority debt holders and will likely result in continued litigation regarding the propriety of such exchanges," say Waller's Tyler Layne and Lee Sands in this article published by Secured Finance Network.

In the article, Tyler and Lee discuss three cases in which companies made amendments to their existing credit agreements and issued new superpriority debt. The authors also address the mechanics of those transactions and challenges to the validity of such transactions.

To learn more, read the full article here.