Delphi, plan investors agree to extend equity purchase commitment deadline

By Caroline Salls

Pittsburgh, Feb. 28 - Delphi Corp. has entered into an amendment to the equity purchase and commitment agreement with its plan of reorganization investors to extend the agreement termination date because Delphi has not completed tentative labor agreements with its principal U.S. labor unions and a legacy issues settlement with General Motors Corp., according to a company news release.

The plan investors include affiliates of Cerberus Capital Management, LP, Appaloosa Management LP and Harbinger Capital Partners Master Fund I, Ltd., as well as Merrill Lynch & Co. and UBS Securities LLC.

The amendment extends the day-to-day right to terminate the agreement beyond Feb. 28 through a date to be established under a 14-day notice mechanism in the amendment.

Delphi, the affiliate of Cerberus and the affiliate of Appaloosa agreed not to exercise their termination right before March 15.

The amendment also extends the deadline to make regulatory filings under the federal antitrust laws in connection with the framework transaction.

Delphi, a Troy, Mich.-based automotive electronics manufacturer, filed for bankruptcy on Oct. 8, 2005 in the U.S. Bankruptcy Court for the Southern District of New York. Its Chapter 11 case number is 05-44481.

© 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.