Bicent seeks approval of $9.75 million ISDA agreement claim settlement

By Caroline Salls

Pittsburgh, July 19 - Bicent Holdings LLC requested court approval of a settlement that resolves claims filed by Bicent Power LLC against Barclays Bank plc in connection with two ISDA master agreements, according to a Thursday filing with the U.S. Bankruptcy Court for the District of Delaware.

Other parties to the settlement are Beowulf Energy LLC, lender investment adviser GSO Capital Partners LP and lender investment adviser Strategic Value Partners, LLC.

According to the motion, Barclays claimed on April 6 that Bicent owed $1.6 million in connection with its failure to make March 30 payments on interest rate swaps and a commodity swap. Barclays also demanded payment of all outstanding amounts owed.

On the May 14 early termination date, Barclays said Bicent was in default under the swap agreements. Barclays subsequently claimed that it owed a $2.56 million termination amount to Bicent, which Barclays paid.

Bicent said it informed Barclays that it did not agree with its calculation of the termination amount, and that payment of the termination amount should not be construed as the company's agreement to the accuracy of the amounts owed.

Under the settlement, Barclays will pay $9.75 million to Bicent.

Bicent said the settlement also resolves Barclays' potential objections to its plan of reorganization.

The company has requested a July 30 hearing.

Bicent Holdings, the Lafayette, Colo.-based parent company for Bicent Power LLC, which operates electric generating facilities, filed for bankruptcy on April 23. Its Chapter 11 case number is 12-11304.

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