Chemtura Corp (fka CHMT)

[Madclown]

At these price levels, the buyers are most likely positioning themselves for an equity stake in the restructured Chemtura, because they like what they see. I would imagine they have also considered the possibility that the company could complete an asset sale and pay off those bonds. In that case, they would stand to gain the difference between the price paid and the face value plus any unpaid interest plus any other remedies outlined in the original bond indenture.

If you want to know what Chemtura's Bonds look like relative to other Bankrupt companies as well as how they stack up against their industry competitors follow the link below. There are some non-bankrupt competitors who do not have bonds trading as high as Chemtura's. The chart was put together on 09/02/09. I will update it this weekend to reflect tomorrow's closing prices.

http://chemturaresearch.blogspot.com/2009/09/chemtura-bond-comparisons.html