> they are too debt laden for a buyout at this point
Enterprise value is indifferent to capital structure. A leverage-sensitive buyer would buy out the high-yielding debt in addition to the equity. Purchasing out of bankruptcy is riskier, in many levels, compared with a negotiated sale.
Enterprise value is indifferent to capital structure. A leverage-sensitive buyer would buy out the high-yielding debt in addition to the equity. Purchasing out of bankruptcy is riskier, in many levels, compared with a negotiated sale.