Judge won’t approve Texas Rangers sale without changes 24/06/2010 |
|
| |
| |
A US bankruptcy judge has ruled that the sale of the Texas Rangers from Tom Hicks to a group led by Chuck Greenberg and Nolan Ryan can be blocked by creditors unless modifications are made in the sale agreement.
The $575m sale was agreed in January but has still not been finalised. The club's day-to-day activities continue to be run by Ryan, the team president and Hall of Fame pitcher.
The current plan cannot be approved "absent acceptance by the lenders," Judge D. Michael Lynn of Fort Worth, Texas, said in a 28-page decision. The judge added that the plan can be approved with changes and if it is accepted by two groups that hold the team's equity, including JP Morgan Chase & Co.
Creditors have objected, saying there were higher bids than Greenberg's and that the creditors were not properly included in the bidding and sale process. This week’s ruling stipulates that the two groups and the team each have a vote on any new sale plan.
"The treatment of the lenders must be modified to allow them to exercise their rights under their loan documents," the judge said in his ruling.
On May 24, the Rangers voluntarily filed for Chapter 11 bankruptcy in an attempt to protect the team's assets and hurry along the sale to Greenberg.
|
| Back |
| |
| |
|
|
 |
Advertisement
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
