Gaming Machine Operator Lucky Bucks Cleared to Exit Chapter 11

Georgia gaming machine operator Lucky Bucks LLC won court approval of a restructuring deal that hands control of the business to top lenders while preserving a legal fight with bondholders who allege private equity owner Trive Capital Inc. misled them to fund lucrative shareholder dividends.

Judge Karen B. Owens said during a Monday court hearing that she would approve a lender-backed Chapter 11 plan for Lucky Bucks’ operating units that cuts $500 million in debt by swapping senior loans for equity in the reorganized business.

But Judge Owens required Lucky Bucks to strengthen protections in its plan for bondholders that ...