On March 17th, the New York Times reported that SVB Financial Group, the parent company of Silicon Valley Bank, filed for bankruptcy in the Southern District of New York. The filing comes shortly after Silicon Valley Bank was seized by the Federal Deposit Insurance Corporation, following a recent run on deposits. SVB’s collapse
On March 6th, The Wall Street Journal reported that remote working environments have seriously jeopardized the recovery of business-focused hotels, boosting default risks within the sector. While leisure travel has rebounded since the second half of 2022, the recovery for facilities with large meeting rooms that rely on business trips and conferences, has
Telecom giant Avaya, Inc. filed a “Chapter 22” bankruptcy petition earlier this month (colloquially referred to as such given that it is Avaya’s second Chapter 11 filing since 2017) with the intent to exit bankruptcy within 90 days. According to Law360, the company reentered Chapter 11 with support from approximately 90% of its secured lenders
The Wall Street Journal reports that on November 17, the Biden Administration released new guidelines that may make it easier for student loan borrowers to discharge their debt in bankruptcy. The guidelines from the Justice Department and Education Department delineate specific requirements for borrowers to prove they are experiencing economic distress. The government will calculate
On November 8th, Fortune reported on the sudden implosion of FTX, the second biggest crypto exchange. The value of FTX’s proprietary token — FTT — started dropping precipitously this week as various news reports came out about it and more and more owners began to sell. The owner of FTX, known as SBF
On October 19th, the Wall Street Journal reported that the electric vehicle startup Mullen Automotive Inc., gained court approval to buy an Indiana manufacturing plant and assets from Electric Last Mile Solutions for $92 million. Such deal, which boosted Mullen’s share prices by 64%, includes Electric Last Mile Solutions’ manufacturing plant in Mishawaka
On October 12th, Bloomberg reported that Alex Jones will join his bankrupt media production company, Free Speech Systems, in a court-supervised settlement with the families of the Sandy Hook school shooting victims. Specifically, Jones’ media company had filed a chapter 11 petition for bankruptcy in July of this year, in the Southern District
Reuters reports that the markets in the US have faced their third straight quarterly decline, the longest period of decline for the S&P 500 and Nasdaq indices since 2008. This comes amid a period of rising interest rates and persistently high inflation (including double-digit inflation in the Eurozone), contributing to fears that a recession is
CNN reports on the Federal Reserve’s decision to raise its target interest rate by an additional 75 basis points to a range of 3.00% to 3.25% in an effort to combat persistent inflation in the US. This is the fifth time the Federal Reserve has raised rates this year. [CNN; Sept. 21, 2022]