Peer Street secures extension of exclusive plan periods

By Sarah Lizee

Olympia, Wash., Oct. 31 – Peer Street, Inc. secured a 90-day extension of its exclusive periods to file and solicit votes on a Chapter 11 plan, according to an order filed Monday with the U.S. Bankruptcy Court for the District of Delaware.

Specifically, the court extended the exclusive plan filing period through Jan. 23 and the exclusive solicitation period through March 25.

The company said that in early August, its bid procedures motion became highly contentious.

The official committee of unsecured creditors made a proposal to the debtors, Pacific Funding Trust 1002 and Pacific RBLF Funding Trust (Colchis), and prepetition secured lender Magnetar Financial LLC for the withdrawal of the bid procedures motion.

The company said the parties continue to pursue negotiations concerning the committee’s proposal.

On a parallel track with the sale process, the debtors have been seeking other value-maximizing alternate transactions such as a Chapter 11 plan sponsorship proposal or a third party “runoff” of the debtors’ mortgage loan portfolio and/or sale of their real estate owned assets.

In addition, the debtors are pursuing a separate sale process relating to the debtors’ non-mortgage assets.

“In light of these circumstances, the debtors submit that the requested extensions are both appropriate and necessary to afford the debtors with sufficient time to adequately prepare a viable Chapter 11 plan and related disclosure statement,” the company said in the motion.

The El Segundo, Calif.-based company filed bankruptcy on June 26 under Chapter 11 case number 23-10815.

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