To answer your question: Yes, there was a reason. A strong reason.
For detailed explanation, read on:
It was expected to follow a similar trajectory like Visteon.
People expected that there might be value in the stock-- the stock rose to like 50 cents-- then the value, if any, needless to say was assigned to the senior lendors (debt converted to equity) per the plan. The stock started falling. Fell by like 50% in 1 day from 40 cents to 20 cents.
There were a few hedge funds who bought common stock and pursuaded the judge (during the hearing where VSTNQ wanted to get out of Chapter 11) about the increased EPS (due to recovery of radio markets) and hence significant value accruing to the common stock holders. The judge didn't budge. The stock fell to like 2 cents.
As of now, there are some parties that say that Aurelius (one of the hedge funds interested and holding common stocks of CTDBQ) is preparing an appeal against the decision. This seems highly logical given the amount of effort Aurelius had already put into it earlier and ignoring that it can be considered sunk expesnses. Whether they actually file it is yet to be seen.
Some numbers for you:
Price after sping off from Disney ~ $6
Steady state price after filing chapter 11: around 2 cents
Highest price recently: ~50 cents
Current price: ~3 cents
