Sorrento Therapeutics seeks fifth extension of exclusive plan periods

By Sarah Lizee

Olympia, Wash., Nov. 27 – Sorrento Therapeutics, Inc. has asked for a fifth extension of its exclusive periods to file and solicit votes on a Chapter 11 plan, according to a motion filed Thursday with the U.S. Bankruptcy Court for the Southern District of Texas.

The company asked the court to extend the exclusive plan filing period by 42 days through Jan. 8 and the exclusive solicitation period by 42 days through March 8.

The company said failure to obtain a further extension could result in costly and unnecessary disruption to the debtors’ estates and confusion to stakeholders, particularly as the debtors are seeking confirmation of their Chapter 11 plan of liquidation, with a hearing currently scheduled for Nov. 30.

Sorrento said that if the debtors’ plan is confirmed, it likely will not go effective until 2024 as the debtors need to first conduct business operations for regulatory and other reasons.

“With the ongoing confirmation process, the debtors cannot afford the distraction of competing plans (or the extra administrative costs that would be incurred) and should be given an opportunity to confirm and consummate their plan,” Sorrento said in the motion.

The biopharmaceutical company is based in San Diego. The company filed bankruptcy on Feb. 13, 2023 under Chapter 11 case number 23-90085.

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