Exactech Creditors Move to Toss Bankruptcy as Reorg Plans Falter

Medical device maker Exactech Inc. should be tossed out of bankruptcy barring additional funding for the pursuit of litigation against the company’s private equity owner TPG Capital, a committee of unsecured creditors said.

Exactech’s seven-month-old Chapter 11 case is at a “crossroads” and it could make more financial sense for the company and creditors to move forward outside of bankruptcy protection, creditors said in a filing Monday to the US Bankruptcy Court for the District of Delaware.

The motion comes just days after the company effectively abandoned a Chapter 11 plan that would have settled claims against corporate insiders.

The ...