Bankrupt Gritstone’s Creditors Ask to Kill Hercules’ Secured Claim

Unsecured creditors of bankrupt vaccine maker Gritstone bio Inc. asked a federal court to find that any remaining secured claims of its venture-debt provider, Hercules Capital Inc., are worth nothing.

Any secured claim that Hercules says it has is worthless, because the bankrupt biotechnology company has no more assets that can be deemed secured collateral under the two businesses’ 2022 loan deal, Gritstone’s unsecured creditor committee told the US Bankruptcy Court for the District of Delaware on Monday.

Hercules’ remaining claim, if allowed, should be deemed unsecured, the committee said.

“At this point in the bankruptcy proceeding there is no ...