| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers P > Headlines for Proterra Inc. > News item |
Proterra’s plan amended to adjust recovery for convertible holders
By Sarah Lizee
Olympia, Wash., Feb. 13 – Proterra Inc. amended its Chapter 11 plan of reorganization and adjusted the recovery terms for holders of second-lien convertible notes, according to an 8-K filed with the Securities and Exchange Commission.
The company said the change reflects a reduction of the claims corresponding to certain transition costs paid by the debtors.
Holders of second-lien convertible note claims will receive, on account of a pro rata $10 million portion of the claims, their pro rata share of all of the equity of reorganized Proterra. The claims will be reduced pro rata by the reorganized Proterra retained cash, and the reorganized Proterra retained cash will be retained by reorganized Proterra on the effective date.
The claims will also be reduced pro rata by the amount that the aggregate cure claims payable on account of the debtors’ assumption of contracts and leases attributable to Proterra Energy exceeds $6.5 million.
The claims will further be reduced pro rata by the total amount of any Proterra Energy transition costs paid by the debtors.
After that, holders will receive cash in an amount equal to their pro rata share of the remaining claims.
However, if a plan support agreement termination distribution occurs, holders of second-lien convertible notes claims will receive cash in an amount equal to their claims, excluding any settled amounts.
Burlingame, Calif.-based Proterra designs and manufactures zero-emission electric transit vehicles and EV technology solutions for commercial applications. The company filed bankruptcy on Aug. 7 under Chapter 11 case number 23-11120.
© 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.