Here my projection. BK will not be thrown out. The last BK was not thrown out, the court sided with creditors on the valuation of the assets, and not with the company's valuation. It was valued higher, which meant that creditors got a higher return. I project that the creditors now will bring in a Private Equity group to buy Exide and replace management. This deal will be better than anything Exide management will propose to the court and creditors. And who knows, maybe the stock holders and lawsuit fanatics will each get a sweetner to bring them on board for the new business. Alternatively, there may be a solid and much larger business, possibly private equity owned, that wants to buy this business at fair value.
BK Judge throws out the BK filing??? huh? where do these clowns come from. On what planet will that happen. If liabilities exceed assets and the ability to pay creditors, a company is insolvent. Its not a judgement call.
Who make companies like that a DEBTOR IN POSESSION, WITH THE ABILITY TO TURN THE COMPANY AROUND, OR AT LEAST AN OPPORTUNITY. The product is needed, and its dirty, no mattr who does it. I don't believe liabilities are in excess of assets, are they?
I read that approximately 5 years ago when xide claimed bankruptch with a stated net worth of 950 million, it
was rejected because it was calculated that the company was worth ` 1 billion. The excess worth made it
unable to claim banruptcy then. It won't take much now to hold them out with 3 billion in revenue, and international operations in full swing. I believe this is a step taken to hold off creditors until xide gets back on its feet again, initiated by xide.