BankruptcyData’s detailed analysis and summary of Grandparents.com’s First Amended Joint Plan of Liquidation, dated August 16, 2017, is now available. The U.S. Bankruptcy Court confirmed the Plan on September 20, 2017; however, an effective date has not yet been issued.
BankruptcyData notes, “The Debtors have sold substantially all of its assets to VB Funding, LLC, and intend to pay all allowed claims, hold funds for disputed claims, and create a trust for the benefit of holders of allowed claims against the Debtors, through a contribution from VB Funding, LLC and the net proceeds recovered from Litigation Claims (the ‘Liquidating Trust’). VB Funding, LLC has agreed to fund the Liquidating Trust with a cash contribution of $200,000 for general trust operations, plus an additional $50,000 specifically earmarked for distribution to Class 3 General Unsecured Claims. VB Funding, LLC has also agreed to release its lien on the Lender Collateral and subordinate its right to equity distributions to all other shareholders under Class 5 of the Plan. Finally, VB Funding, LLC has agreed to consensually subordinate its Lender Unsecured Subordinated Deficiency Claim to Class 3 for the first $450,000.00 of the net proceeds of the Litigation Claims after payment of Lender’s Initial Share of Litigation Claims Proceeds of $300,000 and in exchange for receiving the Lender Release and Injunction, and Lender’s Initial Share of Litigation Claims Proceeds.”
BankruptcyData’s Plan Summary continues, “The Liquidation Analysis for Grandparents.com. Inc. estimates the Estimated Net Assets Available for Distribution to be between $528,500 and $823,880. The recovery rate to the Lender Secured Claim (Class 1) is estimated to be 0%.”
BankruptcyData premium-level subscribers receive access to the full summary, which provides further details on corporate background, events leading to Grandparents.com’s April 14, 2017 Chapter 11 filing, recovery specifications and a comprehensive break-down of all claimant classes.
Read more bankruptcy news.
The post Grandparents.com Bankruptcy Plan Summarized appeared first on Daily Bankrupt Company Updates | Bankrupt Company News.