Automotores Gildemeister Cleared to Reorganize Under New Owners

Automotores Gildemeister SpA, a South American auto importer, won court approval to restructure debt and hand ownership to noteholders.

• U.S. Bankruptcy Judge Lisa Beckerman said during a virtual court hearing in New York that she would sign an order allowing the company to exit Chapter 11 protection once lawyers make minor wording changes to the document
• Under the reorganization plan, the auto dealer will be taken over by noteholders owed more than $500 million in exchange for slashing debt
• Company filed bankruptcy last month after working out the debt-for-equity swap with noteholders, including Elliott Investment Management and Bain ...