Weekly News & Updates

Here's the latest bankruptcy news you should know about from this week.

Technology

📉 Edgio Inc plans to emerge from Chapter 11 by reducing its debt from $244.5M to $40M and transferring ownership to Lynrock Lake Master Fund. A confirmation hearing is scheduled for June 13, 2025.
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Real Estate

🏚️ Greeley Flats, DST is set to have its Chapter 11 case dismissed after selling assets to Fannie Mae for $18 million, leaving no remaining assets for creditors.
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Transportation & Travel

🚚 Yellow Corporation is navigating over $1 billion in disputed pension claims as it works toward confirming its bankruptcy plan, following $2 billion in asset sales.

✈️ Mondee Holdings has filed to convert its Chapter 11 case to Chapter 7 liquidation after post-sale tax liabilities exceeded $1 million and available liquidity proved insufficient.‍

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Food & Beverage
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🎣 Marine Fishing International, Inc. and five affiliated seafood companies plan to liquidate $27 million in assets to repay creditors, following financial losses linked to the Russia-Ukraine war.

⚖️ WeightWatchers is in discussions with lenders to exchange debt for equity, a move that could shift control of the company to creditors as it restructures.

🛢️ Venezuela bondholders are pursuing repayment through the ongoing Citgo asset auction, seeking resolution amid long-standing collateral disputes.

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Retail

🧥 CaaStle Christine Hunsicker resigned following fraud allegations related to misrepresented company performance, as investigations into financial reporting continue.

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Finance & Policy

⚖️ The Fifth Circuit ruled that bankruptcy plans cannot shield non-debtors from liability, reinforcing limits on third-party legal protections.

🏛️ A new Alabama bill allows medical clinic boards to restructure debt while granting board members liability immunity during the process.

🧭 In the Boy Scouts of America case, the court ruled that non-creditors must receive actual notice of bankruptcy plan injunctions, affirming due process standards.

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