U.S. Bankruptcy Judge Benjamin Goldgar has given creditors of the largest operating unit of Caesars Entertainment Corporation, Caesars Entertainment Operating Company (CEOC), an additional 15 days to decide if they object to the casino unit’s bankruptcy exit plan.
Goldgar ruled that since key details of the plan are still being developed, he is postponing the deadline for creditor objections until May 17. “It’s hard to shoot a moving target,” he said at an emergency hearing in which he responded to creditor complaints in a filing that the reorganization plan, negotiated between senior creditors and CEOC, omits “virtually all of the information that creditors actually care about.”
One of the objections is that the plan does not include information on how the parent Caesars Entertainment Corp., owned by private equity groups Apollo Global Management LLC and TPG Capital Management, will contribute to the reorganization plan, which would split CEOC into an operating company and a real estate investment trust.
“Like the creditors, we are keenly interested in the plan from the debtors,” lawyer Thomas Kreller said on behalf of parent Caesars at the hearing.
Goldgar’s May 17 objection deadline for the new plan means that the Caesars unit should file more detailed information by May 7. He postponed a hearing on the plan by to May 25.
