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Adeptus Health Bankruptcy Objections Filed

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Wexford Spectrum Investors and Debello Investors filed with the U.S. Bankruptcy Court objections (i) to Adeptus Health’s motion to retain DLA Piper (US) as special counsel and (ii) the motion to limit notice and scheduling an order on the valuation hearing and Disclosure Statement hearing.

The retention objection asserts, “Fundamentally, the DLA Application should be summarily denied for lack of disclosure….Further, the DLA Application does not disclose what services DLA will be providing in this case or why Fulbright could not provide the same services (and without the myriad of conflicts).”

The Disclosure Statement objection asserts, “The Cloaking Motion proposes that the Debtors file their motion to determine the value of all their assets on May 23, 2017 (presumably disclosing their proposed value for the first time on this date), and then have a hearing about three weeks later on June 16. In the meantime, parties will be required to file any valuation reports with the Court on June 2. This lightning fast process is being proposed to value a group of companies with 140 debtors and numerous non-debtor JVs…Expecting any party (other than the Debtors and Deerfield with their substantial pre-petition advantage) to be prepared and present a reasonable valuation case in this timeframe is absurd.”

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