Blackstone, KKR Accused of Blocking One Call Corp. Rescue (1)

Blackstone Inc., KKR & Co., and board members at One Call Corp. are facing investor litigation over claims that they had self-dealing reasons for blocking a series of transactions aimed at rescuing the ailing health care company.

The lawsuit accuses the private equity giants and their board allies of killing debt restructuring efforts proposed by a hedge fund affiliate of Chatham Asset Management LLC, which holds stock in One Call parent company Coral Acquisition Inc. Coral is allegedly controlled by Blackstone and KKR.

Most details of the proposed transactions are blacked out, although the heavily redacted court filing ...