American Addiction Centers’ Bankruptcy Plan Gets Court Approval

American Addiction Centers’ bankrupt corporate parent won court approval of its reorganization plan that hands the company over to junior secured lenders.

Senior lenders, with claims of about $55.7 million, will be paid cash from the proceeds of whatever assets the company sells as well as a new exit loan, according to the plan. Junior secured creditors, holding claims of about $450.6 million, will take all the equity in the company exiting bankruptcy.

AAC Holdings Inc.'s plan was approved Tuesday by Judge John T. Dorsey of the U.S. Bankruptcy Court for the District of Delaware.

AAC will make all ...