Bankruptcy Law News

VIVUS’s Bankruptcy Plan Giving Control to Icahn Unit Confirmed

Dec. 3, 2020, 9:21 PM

Bankrupt pharmaceutical developer VIVUS Inc. won court approval of its reorganization plan after settling with shareholders who had successfully blocked plan confirmation in September.

Judge Laurie S. Silverstein approved the amended plan during a hearing Thursday at the U.S. Bankruptcy Court for the District of Delaware after a newly formed equity committee reached a settlement with VIVUS and the Icahn Enterprises subsidiary taking over the company.

Under the plan, Icahn Enterprises subsidiary IEH BioPharma LLC will get 100% of the equity in the company emerging from bankruptcy, in exchange for canceling almost $171 million in convertible notes debt.

After rejecting...

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