ATPG Senior 11.875% 2nd Lien Bonds (fka ATPG.GE)

[56Chevy]

And the Debtor is proposing to give the DIP Lenders even more value not reflected in these reports in the form of rights to significant litigation claims [i.e. BP] that are not subject to the DIP Lenders’ liens and intercompany Claims and equity interests in the Debtor’s subsidiaries that are currently property of the estate.

Not that I think the 2nd lien holders have a snowballs chance in Hades going forward but a credit bidding lender must provide additional value for unencumbered assets otherwise it is acquiring unencumbered assets for free.

imo No one knows how much, or even if, ATP will be successful on any level in its lawsuit with BP. Never-the-less that claim has value therefore the DIP lenders should have to pay real cash over and above their credit bid to acquire it.

And to take it a step further that claim should be marketed (just as all the other deep water assets were supposedly marketed) to insure the highest bid(s).