Apr
23
Blavatnik Not to Blame for LyondellBasell Bankruptcy, Judge Says
By-
Billionaire stood accused of benefiting from 2007 merger
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Creditors had sought $3 billion but will get only $7.2 million
After almost a decade of being haunted by the failure of a leveraged buyout of LyondellBasell Industries NV, billionaire Len Blavatnik has prevailed.
A Manhattan bankruptcy court judge on Friday threw out claims seeking about $3 billion from Blavatnik and his businesses, finding that they hadn’t improperly extracted money from a company while it was already insolvent. The finding, which shows the challenge of blaming leveraged deals or pre-bankruptcy transactions for a company’s failure, could chill optimism among distressed debt investors that they can prevail in similar lawsuits…
Blavatnik Not to Blame for LyondellBasell Bankruptcy, Judge Says
