SeraCare granted exclusivity extension to continue negotiations with equity committee

By Jennifer Lanning Drey

Eugene, Ore., July 21 - SeraCare Life Sciences, Inc.'s exclusive periods to file a plan of reorganization and solicit votes on the plan were extended while discussions continue with the ad hoc equity committee, according to a Thursday filing with the U.S. Bankruptcy Court for the Southern District of California.

The exclusive plan filing period was extended to Aug. 18 and the solicitation to Oct. 18.

A hearing on further extension of the exclusivity periods and the equity committee's motion to terminate exclusivity will be held Aug. 17.

As previously reported, the company wants to extend its exclusive plan filing period to Oct. 18 from July 21 and the solicitation period to Dec. 18 from Sept. 18.

The company said it requested the extension because it believes it has made progress toward resolving issues with the committee, according to the filing.

SeraCare and the ad hoc committee are currently negotiating certain issues, it said.

In its previously filed objection to the extension, the committee of equity holders said there is no justification for a delay in the filing of a plan of reorganization.

In addition, the equity holders said they have repeatedly tried to discuss proposed financing and the proposed reorganization with SeraCare but have been met with delays and avoidance.

In its motion requesting the extension, SeraCare said the extra time is needed to formulate and negotiate a plan with the company's various creditor groups, including the senior secured and subordinated lenders, the official committee of unsecured creditors and the ad hoc committee of equity holders.

SeraCare, an Oceanside, Calif., manufacturer and provider of biological products and services to diagnostic, therapeutic, drug discovery and research organizations, filed for bankruptcy on March 22. Its Chapter 11 case number is 06-00510.

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