Homer City Generation’s First Amended Prepackaged Chapter 11 Plan of Reorganization became effective, and the Company emerged from Chapter 11 protection. The U.S. Bankruptcy Court confirmed the Plan on February 15, 2017.
BankruptcyData’s detailed Plan Summary notes, “General Unsecured Claims will receive payment in cash in an amount equal to such Claim, or such other treatment so as to render such holder’s General Unsecured Claim unimpaired pursuant to section 1124 of the Bankruptcy Code, for a 100% rate of recover….Valuation Analysis estimates the Total Enterprise Value of the Reorganized Debtor to be approximately $290 – $350 million.”
In addition, “Valuation Analysis projects pro forma net debt of $66 million upon the Effective Date. This consists of $150 million of gross debt and cash of $84 million. The Total Enterprise Value implies an Equity Value range of $224 – $284 million.” This coal-fired merchant power plant operator filed for Chapter 11 protection on January 11, 2017, listing more than $2 billion in pre-petition assets.
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