| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers E > Headlines for Enviva Inc. > News item |
Enviva, bond trustee want committee reconstituted; U.S. trustee objects
By Sarah Lizee
Olympia, Wash., April 30 – Enviva Inc. and Wilmington Savings Fund Society, FSB, as trustee for the company’s $750 million notes due 2026, are asking the U.S. Bankruptcy Court for the Eastern District of Virginia to have the official committee of unsecured creditors reconstituted.
The committee, which was formed on March 25, currently consists of RWE Supply & Trading GmbH and Drax Power Ltd., both of which are competitors and customers of Enviva, and Ryder Integrated Logistics, Inc., a vendor and contract counterparty of the debtors.
Enviva said it has concerns about the committee’s ability to property function in light of the members’ respective relationships to the company and the debtors’ need to protect certain commercially sensitive information in order to maximize value for all stakeholders.
Wilmington has asked to be appointed to the committee, saying it is the largest unsecured creditor by at least $400 million.
“Despite the debtors’ significant balance of unsecured funded debt, however, not a single committee member appointed by the [U.S. trustee] represents the interests of unsecured funded debt,” Wilmington said in a motion.
The U.S. trustee objected to the motion. Region 4 U.S. trustee Gerard R. Vetter said Wilmington has not met its burden of demonstrating that the committee is unrepresentative as it currently stands.
Vetter further objected to Wilmington’s move to be on the committee, saying the U.S. trustee is responsible for identifying and selecting eligible creditors in line with his statutory duties.
Enviva is a wood pellet producer based in Bethesda, Md. The company filed bankruptcy on March 12 under Chapter 11 case number 24-10453.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.