Lucira Health creditors object to appointment of equity committee

By Sarah Lizee

Olympia, Wash., June 2 – Lucira Health, Inc.’s Chapter 11 case shouldn’t have an official committee of equity security holders appointed, the official committee of unsecured creditors told the U.S. Bankruptcy Court for the District of Delaware in an objection filed Thursday.

The creditor group said an equity committee in this case is neither necessary nor appropriate.

“The debtor is clearly not solvent based on the results of the sale and any distributions to equity holders are highly unlikely,” the creditors committee said in its objection.

“Further, the formation of an equity committee is antithetical to the interests of the debtor’s estate because the consequent expense of such a committee is unnecessary and improper where the interests of all stakeholders – including shareholders – are already adequately represented by both the debtor and the committee.”

Lucira is a medical technology company based in Emeryville, Calif. The company filed bankruptcy on Feb. 22 under Chapter 11 case number 23-10242.

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