Sunday, 31 August 2014
Last updated 1 day ago
Oct 1 2013 | 9:58am ET
Hedge funds and some other creditors of the former General Motors have struck a deal over a $367 million payout to the funds in 2009.
A trust representing "old" GM's unsecured creditors, the successor to Motors Liquidation Co., agreed to drop their lawsuit against the funds in exchange for those funds dropping $1.13 billion in claims against the old GM estate. The four hedge funds include Elliott Management, Fortress Investment Group and Paulson & Co.; Appaloosa Management and Aurelius Capital Management, which took part in the 2009 deal, sold their bonds and were not involved in the litigation.
In addition to getting to keep the $367 million, the hedge funds also received $50 million from the "new" GM.
The 2009 deal was designed to keep GM Canada out of bankruptcy. GM Canada borrowed the money from old GM and then paid the hedge funds. The trust argued that the deal should have been canceled under bankruptcy law.
The settlement goes before a federal bankruptcy judge on Oct. 21.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...