Kodak in financing deal to leave bankruptcy: source
By Nick Brown | November 13, 2012 4:49 AM EST
Eastman Kodak Co
The deal, which needs bankruptcy court approval, would provide Kodak with $793 million in loans on the condition that it receive at least $500 million for a patent portfolio it has been trying to sell for more than a year, the person said.
The financing is also contingent on the company selling all or a portion of its document imaging and personalized imaging businesses, which were also put up for sale, the person said.
Kodak filed for Chapter 11 protection in January in hopes of selling its intellectual property portfolio, but bids have been lower than hoped. It remains in talks for a patent sale with potential buyers, including Apple Inc and Google Inc
Disposing of its intellectual property and imaging assets would mean a restructured Kodak would largely be out of the consumer business, focusing instead on its commercial imaging businesses.
Kodak had no immediate comment.
The bondholders funding Kodak's loans, which include Centerbridge Partners and a JPMorgan Chase & Co
Some of those second-lien holders on Monday filed court papers objecting to Kodak's request to keep exclusive control of its bankruptcy process through February 28.
The request, which needs court approval, would bar creditors from pushing competing restructuring plans.
(Reporting By Nick Brown; editing by John Wallace and Kenneth Barry)
Join the Conversation
- Kobani ISIS Fighter Sends Out Desperate Message For Prayers And Support: Euphoria Turns Into Desperation As Kurds Advance
- Chris Algieri’s Battered Face Trends On Social Media
- Home Depot Early Black Friday 2014 Sale Up To Nov. 29, 2014 Includes Special Buys On Appliances Such As Samsung Refrigerators, Whirlpool Electric Ranges And Hoover Vacuum Cleaners
- Black Friday Sale 2014 Deals From Amazon On Smartphones, TVs, Headsets And More
- Microsoft Band Runs Out Of Stock, But Offers $10 Gift Voucher To Wait-Listed Customers
- Andrew Robb Asks Obama Not to ‘Lecture’ Australia on Climate Change
- Highest Paid NBA Players 2014: NBA Stars Who Earn More Than LeBron James